Dongfeng's premium new energy vehicle marque Voyah said on Friday that it has raised around 5 billion yuan ($701.50 million) in its series A fundraising round.

State-owned carmaker Dongfeng holds a 78.88 percent stake in the marque now valued at nearly 30 billion yuan. Voyah said around 40 percent of the fund newly raised will be spent on research and development.

There are a total of 10 investors in this round, including Mixed Reform Fund, the investment units of China's major commercial banks, battery maker Sunwoda Electronic Co and Ganfeng Lithium.

The announcement came days after the two-year old brand unveiled two smart vehicle architectures, which it said are at least “one generation ahead of rivals in the market”.

Its third model, which will make its debut in December, will be built based on the latest architectures, said Voyah.

Wang Junjun, chief technology officer of the company, said the two architectures mark the start of its transition from a carmaker into a technology company.

Established in 2020, Voyah now has an SUV, called Voyah Free, and an MPV, called Voyah Dreamer, in the market.

Their combined sales in October stood at 2,553 units, up 154 percent year-on-year. In the first 10 months, its deliveries reached 16,172 units.

Its Free SUV has become available in the European market as well, with its MPV to follow in 2023, said the carmaker.