With the increasingly fierce competition in the global electric vehicle industry, NWTN Group (NWTN Inc.) will spend 500 million US dollars (the same below, about 678 million yuan) to invest in China Evergrande Automobile.
According to Bloomberg, Evergrande Automobile and Newton Group announced the above news on Monday (August 14).According to the trading terms, Newton Group will acquire nearly 28 % of Evergrande Automobile, which is in a financial difficulties, and has the opportunity to nominate most members of the board of directors.
Whether this transaction is enough depends on the restructuring of Evergrande Automotive Debt, and whether it has been consent from the regulatory authorities and shareholders.Newton Group and Evergrande Automobile are expected to be completed in the fourth quarter of this year.
Newton Group said that the proposed transaction will help the two companies to achieve the goal of the global transportation industry, and also solve the short -term capital demand of Evergrande Motors.
Evergrande Automobile's first financial report in the past month, the loss of 2021 and 2022 reached $ 11.7 billion, and warned the continued operating capabilities.
The Newton Group, headquartered in Dubai, UAE, is a smart electric vehicle and green energy enterprise. It has been committed to expanding its influence in markets such as the Middle East, North Africa and China.Newton Group runs an assembly plant in Abu Dhabi.The group said that Evergrande Motors has a large number of manufacturing facilities and a global distribution supply chain.
