Chinese electric vehicle startup WM Motor is adjusting its shareholding structure and may raise a new round of funding in the fourth quarter in preparation for an overseas initial public offering (IPO), cls.cn said on Wednesday, citing sources.

The registered capital of WM Motor Smart Mobility Technology (Shanghai) Co Ltd, the entity that operates the WM Motor brand, was reduced by 42.99 percent to 689 million yuan from 1.209 billion yuan on September 13, information from data provider Tianyancha showed.

(Source: Tianyancha)

"This change in registered capital is a normal adjustment made by the company based on its strategic needs and the actual development needs of its business," cls.cn quoted WM Motor as saying in response.

WM Motor, one of the most talked-about new car makers in China, has been questioned for lagging behind its peers this year after it stopped publishing sales figures.

In July, the company's founder, chairman and CEO Shen Hui broke silence and said the company sold 4,007 units in June, a 97.6 percent increase from a year earlier.

After that, the company stopped releasing sales figures again.

WM Motor had previously planned to list on China's Nasdaq-style sci-tech innovation board, also known as the STAR market, and was ready to do so in January. But there has been no progress since then.

In mid-April, Chinese media reported that WM Motor had put its application to list on the STAR market on hold.

WM Motor responded at the time that the STAR market policy had been tightened, but that the company was in the queue and that the timing of the listing was undetermined.

WM Motor boasts its modified car can accelerate from 0 to 100 km/h in 1.8 seconds