Evergrande Auto raises $ 1.4 billion on the Hong Kong Stock Exchange
The placement of 2,7% of the shares on the Hong Kong Stock Exchange brought $ 1.4 billion into Evergrande Auto's coffers last Thursday. For investors there was a discount of 20% on the current price, like the Automotive News reported. Selling is of some importance. For Evergrande, the successful placement brings prospects for the future, as it clears the way for listing on the Shanghai Stock Exchange.
With the sale of 2,7% of the shares, the proportion of the shares held by the 9 major shareholders drops below the magic mark of 90%. The shareholders all come from the elite circle of Chinese billionaires who made the parent company one of the largest real estate developers in the country. Its dominance has been reprimanded by regulators and has been seen as one of the obstacles to its stock market debut in Shanghai.
By reducing its stake, Evergrande Auto fulfills one of the conditions for future listing on the Shanghai Stock Exchange. It simplifies access to the Chinese capital market and further expansion.
The share price falls
The price of the share is now moving further and further away from the previous high of around € 8,00 and was only quoted at the equivalent of € 4,60 on Friday. The advance praise are obviously used up, the imagination alone is not enough forever to justify the high rating.
Hard facts would be good to underpin the claim to future market leadership. Or new electric cars on the road. But they are still a long time coming, as is the start of production, which should take place in the last quarter of 2021 at the latest. Then immediately in 3 plants, in Tianjin, Shanghai and Guangzhou. The Tianjin plant was built and commissioned under the direction of NEVS.
In the summer of 2019, the first Saab 9-3-based electric cars ran Band. Production did not last long, and the plant was rebuilt shortly afterwards to expand its capacity.
Since you have nothing else to show at the moment, you try to impress with numbers. Evergrande Auto claims to have filed 3.012 patents abroad and in China. 1.355 are now recognized, they include battery modules or thermal management, chassis suspensions, electrical architecture or autonomous driving. Evergrande sees itself as a leader with holographic assistants in the Car2x sector. Batteries from our own production are to be manufactured in large numbers from the end of the year.
The message behind the message: Look here, we cover the entire area of the production and development chain for electric cars.
According to the press release, around 3.500 developers are to do research for Evergrande Auto worldwide. Some of them in Trollhättan, at the former Saab plant. There the self-propelled Sango does its laps in halls and on the outside area. The first copies in the practical test should be seen in Stockholm at some point.
3 thoughts on "Evergrande Auto raises $ 1.4 billion on the Hong Kong Stock Exchange"
Evergrande has sold 260 million shares (10%), which means that the Chinese billionaires still own 2.600 million shares. Not bad for a strongly centralized country.
It would be nice if Trollhättan were among the factories that will soon be building cars. It doesn't matter whether it's electric or not. The main thing is that something is happening.
Yes, thanks for the information!,…. and, as written, puts cars on the road on the tests and real consumption and range data I'm curious!
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