On May 12, Evergrande announced that its shareholders' meeting had agreed to sell 47 property projects to China Evergrande and its subsidiaries, meaning Evergrande completed its real estate spin-off and became a pure new energy car company. Evergrande said that after the divestiture of the real estate business, concentrate resources to protect Hengchi's R & D and production, and focus on the new energy vehicle race track, which will help to improve market valuation, gain capital favor, and be conducive to Hengchi's development.
Evergrande and China Evergrande announced on the Hong Kong Stock Exchange that Evergrande entered into a sale and purchase agreement with China Evergrande and an Xin Holdings, a subsidiary of China Evergrande, to sell the enterprise equity composed of two wholly-owned subsidiaries, Huibao, Flaming Ace and their subsidiaries, for a symbolic price of 2 yuan, for 47 health space projects of Evergrande Automobile. It includes 21 Evergrande Health Valley projects located in Cangzhou, Hohhot, Nanjing and Xi'an, 5 Evergrande Health City projects in Kunming, Wuhan and Chongqing, and 21 real estate development projects in Guiyang, Nantong, Shenyang, Zhengzhou and other places.
In this "left-hand-to-right-hand" transaction, although Evergrande did not get cash, it handed over 24.789 billion yuan in debt to the buyer. Evergrande has previously said that if it can seek financing of more than 29 billion yuan in the future, it plans to launch a number of flagship models and is expected to achieve mass production.
In other words, after transferring the relevant liabilities, Evergrande only needs to raise about 5 billion yuan in the future to successfully renew its life. Evergrande needs too much money. In the announcement, Evergrande disclosed that from October 2022 to March 22, 2023, Evergrande delivered a total of 900 Evergrande cars. Due to lack of funds, the Tianjin plant has suspended production and plans to resume production in May, but so far there is no news of resuming production.
In February 2015, China Evergrande acquired a 74.99 per cent stake in New Media Group Holdings Limited for a total consideration of about HK $950 million. After that, New Media Group Holdings Co., Ltd. changed its name to Evergrande Health Industry Group Co., Ltd.
The original main business of Evergrande Health is medical and beauty services and pension services, in which the promotion of pension services is "Evergrande Health Valley". In June 2018, Evergrande Health announced that it would buy 100 per cent of Hong Kong Shiying for HK $6.7467 billion, indirectly acquiring 45 per cent of Smart King, while Smart King wholly owns Faraday Future (FF), a new energy vehicle company. It should be noted that although the original shareholder of FF is only the second largest shareholder of Smart King, it holds nearly 90% of the voting rights. In other words, what Evergrande Health bought is almost the ownership of FF.
The news of Evergrande's acquisition of FF was immediately welcomed by the capital markets, leading Evergrande to rise healthily all the way. Unfortunately, Evergrande and FF only met by chance and parted ways in January 2019. After that, Evergrande chose to work alone, and Xu Jiayin began to dabble in the field of new energy vehicles. Through large-scale acquisitions, he built a whole industry chain of new energy vehicles covering power batteries, power total energy, advanced vehicle manufacturing, car sales and smart charging, and loaded a series of assets into the listed company Evergrande Health one after another.
In August 2020, Evergrande Health changed its name to "Evergrande Automobile" and mainly engaged in new energy vehicle technology research and development, production and sales services (collectively referred to as "New Energy vehicle Division"). And engaged in Internet + community health management, international hospitals, pension and rehabilitation industry and other health management business (collectively referred to as the "health management branch").
In the same month, Evergrande released six new models of Hengchi at the same time in Shanghai and Guangzhou, including Hengchi 1, Hengchi 2, Hengchi 3, Hengchi 4, Hengchi 5 and Hengchi 6. Evergrande aims to "become the largest and strongest new energy vehicle group in the world within five years, and to produce and sell 1 million vehicles a year in the next 3-5 years".
It is worth mentioning that Evergrande derives most of its revenue from its health management division. According to the 2020 report, Evergrande's annual revenue is 15.487 billion yuan, while the revenue of the new energy vehicle sector is only 188 million. Up to now, Evergrande has not disclosed its financial results for 2021 and 2022.
Evergrande's current dilemma is caused by the debt crisis that China Evergrande has been mired in since December 2021. On December 3, 2021, China Evergrande failed to meet its guarantee obligations for a $260 million private bond, resulting in a fire that triggered a cross-default on all outstanding dollar debt.
After the outbreak of the debt crisis, China Evergrande launched overseas debt restructuring and announced the introduction of strategic investors in Evergrande property and Evergrande Automobile. Evergrande strips off its real estate business to get rid of debt at a low price, essentially hoping to attract potential strategic investors with a low burden and pure business identity. However, in the context of its own hematopoietic difficulties and the high debt of the parent company, the outlook for Evergrande looks particularly bleak.
On the evening of May 12, China Evergrande announced that it had received an enforcement notice from the Guangzhou Intermediate people's Court of Guangdong Province on the arbitration award of the Shenzhen International Arbitration Court. China Evergrande, Guangzhou Kailong Real Estate Co., Ltd. (referred to as "Guangzhou Kailong"), and Xu Jiayin, the controlling shareholder and executive director of China Evergrande, are the persons subject to the enforcement notice.
Welcome to subscribe to the WeChat public account "Automotive Industry Focus" to get the first-hand insider information on the automotive industry and talk about things in the automotive circle. Welcome to break the news! WeChat ID autoWechat
Global auto giant Stellantis Group has been exploring the possibility of working with Chinese electric carmakers, including zero cars, according to people familiar with the matter. In October of the same year, Stellantis Group spent 1.5 billion euros (about 11.5 billion yuan)
According to the National Enterprise bankruptcy reorganization case Information Network, upon the application of Weima Automotive Technology Group Co., Ltd. (hereinafter referred to as "Weima Technology Group"), the Shanghai No. 3 Intermediate people's Court issued (2023) Shanghai 03 Breaking No. 1041 Civil order on December 29th, 2023, and ruled to accept Weimake.
A few days ago, a number of auto bloggers revealed pictures that a domestic car factory is full of Civic Type R inventory cars, the appearance of the basic color matching is supersonic gray and champion white, in addition mixed with one or two rally red. It is rumored that due to the poor sales of Civic TYPE R, the car has been in the end market.
A few days ago, a letter from SAIC GM Wuling Motor Co., Ltd. on the adjustment of general manager and executive committee members showed that after discussion by the party committee of Shanghai Automobile Group Co., Ltd., the president agreed: Shenyang will no longer hold the post of general manager of SAIC GM Wuling Automobile Co., Ltd., recommending Lu Jun to become SAIC GM Wuling Motor.
Porsche doesn't smell good in China? 2023 ends with negative growth again! A few days ago, Porsche released the latest sales figures, showing that Porsche sold 320221 vehicles worldwide in 2023, an increase of 3% over the same period last year, of which the total delivery volume in China was 79283, although it is still the largest in the world.
As the performance car market is relatively small, and its technical strength and brand effect are difficult to compete with foreign brands, Chinese car brands have been reluctant to eat the hard bone of high-performance cars, while LinkedIn 03+ is China's first high-performance car in the real sense. It has achieved the leap of Chinese performance cars from 0 to 1. Recently, Lectra officially announced that Lectra 03+ will be officially listed on the evening of August 2. In appearance, LinkedIn 03+ is basically consistent with the models on sale, continuing its family-style design language, with a strong sense of visual impact on the front face, with the new "flaming gold" exclusive color matching, which can be described as full of personality. Lingke 03 + has been installed on the basis of the original car.
On August 19, Cyrus released its semi-annual results report for 2022. The report shows that Selis's operating income in the first half of the year was 12.416 billion yuan, an increase of 68.14% over the same period last year; the net loss of shareholders belonging to listed companies was 1.717 billion yuan, compared with a net loss of 481 million yuan in the same period; net loss of non-recurrent profit and loss
The price increase of hot-selling models is nothing new, especially this year, the automobile industry is affected by the shortage of chips, and the delivery volume of new cars of many brands are greatly reduced. In this case, consumers are usually faced with two choices, either to increase the price to pick up the car or wait in line. In this regard, the relevant departments have repeatedly reiterated that the fare increase is prohibited. Yesterday, CCTV Finance broadcast an undercover program, CCTV reporters visited Beijing Audi, Mercedes-Benz and Guangzhou Automobile Toyota 4S store, found that 4S store price increase is popular, performance models, MPV,SUV, imported cars are the key models of price increase.
On June 16, Yttrium 3, a brand new model of Jianghuai Automobile, was officially put on the market, with a total of 6 models with a price range of 89900-127900 yuan. Yttrium 3 is the brand new Jianghuai passenger car brand yttrium is the first model, positioning electric small car, from the positioning and price point of view, yttrium is 3 after listing
After 323 days of suspension, Evergrande finally announced the resumption of trading, becoming the first "Evergrande" company to resume trading, and it "lived up to expectations", as the market expected, its share price plummeted on the first day, closing down 61.25% to close at HK $1.24 per share, with a total market capitalization of only HK $13.44 billion.