{Economic Information Agency news on the 28th} NIO (09866) rose 1.71%, closing at HK$28.54, while Geely Automobile (00175) rose 1.54%, closing at HK$15.84.
NIO announced that it has entered into formal agreements with certain subsidiaries under Geely Holding Group regarding strategic transactions in battery swap and charging businesses. Geely's subsidiaries will use their entire equity interest in Yi Yi Interconnected Technology (Chongqing), plus RMB 640 million in cash, to subscribe for newly issued equity in NIO Energy. Upon completion of the transaction, Geely will hold 30% equity in NIO Energy, while NIO China will continue to hold a controlling stake of 63.6%. Existing investor Wuhan Guangchuang Emerging Fund will hold 6.4%. The post-investment valuation of NIO Energy from this transaction is approximately RMB 16 billion.
On the other hand, NIO China agrees to subscribe for new equity in Haohan Energy, a charging business company under Geely, with cash. Upon completion of the transaction, it will hold 10% equity in Haohan Energy. The cash consideration will be used to purchase certain charging assets from NIO, though the investment amount was not disclosed in the announcement.
NIO and Geely have also formulated preliminary plans for the adoption of battery swap technology and provision of related services for consumer vehicle models and mobility service vehicles under Geely-affiliated enterprises, with specific arrangements still subject to further discussion. The aforementioned equity transactions are subject to regulatory approvals and satisfaction of other customary closing conditions before completion.
Currently, the Hang Seng Index stands at 24,669, up 159 points or 0.6%, with over HK$8 billion traded on the main board. The HSCEI stands at 8,235, up 69 points or 0.9%. The Hang Seng Tech Index stands at 4,322, up 10 points or 0.2%. The current-month futures index is at 24,675, up 153 points, at a premium of 6 points. The current-month H-share futures are at 8,235, up 69 points, at par. The current-month tech index futures are at 4,322, up 7 points, at a premium of 3 points. (nw)
NIO announced that it has entered into formal agreements with certain subsidiaries under Geely Holding Group regarding strategic transactions in battery swap and charging businesses. Geely's subsidiaries will use their entire equity interest in Yi Yi Interconnected Technology (Chongqing), plus RMB 640 million in cash, to subscribe for newly issued equity in NIO Energy. Upon completion of the transaction, Geely will hold 30% equity in NIO Energy, while NIO China will continue to hold a controlling stake of 63.6%. Existing investor Wuhan Guangchuang Emerging Fund will hold 6.4%. The post-investment valuation of NIO Energy from this transaction is approximately RMB 16 billion.
On the other hand, NIO China agrees to subscribe for new equity in Haohan Energy, a charging business company under Geely, with cash. Upon completion of the transaction, it will hold 10% equity in Haohan Energy. The cash consideration will be used to purchase certain charging assets from NIO, though the investment amount was not disclosed in the announcement.
NIO and Geely have also formulated preliminary plans for the adoption of battery swap technology and provision of related services for consumer vehicle models and mobility service vehicles under Geely-affiliated enterprises, with specific arrangements still subject to further discussion. The aforementioned equity transactions are subject to regulatory approvals and satisfaction of other customary closing conditions before completion.
Currently, the Hang Seng Index stands at 24,669, up 159 points or 0.6%, with over HK$8 billion traded on the main board. The HSCEI stands at 8,235, up 69 points or 0.9%. The Hang Seng Tech Index stands at 4,322, up 10 points or 0.2%. The current-month futures index is at 24,675, up 153 points, at a premium of 6 points. The current-month H-share futures are at 8,235, up 69 points, at par. The current-month tech index futures are at 4,322, up 7 points, at a premium of 3 points. (nw)
