Cheetah Mobile Acquires Majority Stake in UFACTORY to Boost Robotics Business

Cheetah Mobile to acquire a 60.8% stake in UFACTORY, a leading provider of lightweight robotic arms, for RMB99.5m. Following the transaction, Cheetah Mobile will hold approximately 75.8% of UFACTORY's total equity interest. The acquisition aims to accelerate Cheetah Mobile's robotics commercialization strategy and strengthen its product portfolio. The deal is expected to close in Q3 2025, subject to customary closing conditions.

Cheetah Mobile Inc. (NYSE: CMCM) has announced the acquisition of a 60.8% stake in Shenzhen UFACTORY Technology Co., Ltd. (UFACTORY), a leading provider of lightweight robotic arms. The transaction, valued at approximately RMB99.5 million, aims to bolster Cheetah Mobile's robotics commercialization strategy and strengthen its product portfolio. Following the acquisition, Cheetah Mobile will hold approximately 75.8% of UFACTORY's total equity interest.

The acquisition is part of Cheetah Mobile's broader strategy to leverage its cutting-edge AI technologies, including LLM technologies, to empower its products and make the world smarter. UFACTORY's robust technology stack and lean go-to-market approach make it an ideal partner for Cheetah Mobile's growth in AI and robotics. The deal is expected to close in the third quarter of 2025, subject to customary closing conditions.

UFACTORY, under the brand "UFACTORY xArm," is known for its lightweight collaborative robotic arms designed to safely work alongside humans in shared environments. The company has achieved sustained growth over the past years, generating net profits and substantial revenue from overseas markets. UFACTORY's diverse portfolio of robotic arms and accessories, backed by proprietary full-stack robotics technologies, makes it highly adaptable across different use cases.

Cheetah Mobile, a China-based IT company, has been listed on the New York Stock Exchange since May 2014. It provides a range of internet products and services, value-added services, and service robots to international clients. The company's commitment to AI innovation and independent research and development of AI technologies positions it well for future growth.

The acquisition will be funded using Cheetah Mobile's cash reserves. As of March 31, 2025, the company held over USD230 million in net cash, providing ample flexibility for strategic investments.

References:
[1] https://www.prnewswire.com/news-releases/cheetah-mobile-to-acquire-controlling-stake-in-ufactory-to-accelerate-its-robotics-commercialization-strategy-302514778.html
[2] https://www.marketscreener.com/news/cheetah-mobile-to-acquire-controlling-stake-in-ufactory-to-accelerate-its-robotics-commercialization-ce7c5fd8db8cf223