NIO Inc. (“NIO” or the “Company”) (NYSE: NIO), a pioneer in China’s
premium smart electric vehicle market, today announced that the
investors have substantially completed the cash injection
obligations for the first two installments of their investments in
NIO China. NIO (Anhui) Holding Co., Ltd., or NIO Anhui, the legal
entity of NIO China wholly owned by the Company prior to the
investments, has received from the investors RMB4.8 billion out of
the RMB5 billion of cash investments for the first two
installments. The remaining RMB200 million of the first installment
would be paid prior to September 30, 2020 by the applicable
investor according to the agreed payment schedule.
As previously disclosed by the Company, in April
and May 2020, for investments into NIO Anhui, the Company entered
into definitive agreements, as amended and supplemented, with a
group of investors as well as their respective designated funds and
permitted assignees. In June 2020, the parties further entered into
supplemental agreements to the definitive agreements, pursuant to
which Anhui Provincial Emerging Industry Investment Co.,
Ltd. designated Anhui Provincial Sanzhong Yichuang Industry
Development Fund Co., Ltd. to perform its remaining investment
obligations under the investment agreement and assume the
corresponding rights and obligations under the definitive
agreements. Accordingly, NIO Anhui’s minority investors are
Jianheng New Energy Fund, Advanced Manufacturing Industry
Investment Fund, Anhui Provincial Sanzhong Yichuang Industry
Development Fund Co., Ltd. and New Energy Automobile Fund.
Under the definitive agreements, as amended and
supplemented, the investors will inject an aggregate of
RMB7 billion in cash into NIO Anhui. NIO will inject its core
businesses and assets in China, including vehicle research and
development, supply chain, sales and services and NIO Power, or
together as the Asset Consideration, into NIO Anhui. Further, the
Company will inject RMB4.26 billion in cash into NIO Anhui.
Upon the completion of the investments, NIO will hold 75.885% of
controlling equity interests in NIO China, and the Strategic
Investors will collectively hold the remaining 24.115%.
Pursuant to the definitive agreements, as
amended and supplemented, the investors agreed to pay the RMB7
billion of cash investment in five installments, with (i) RMB3.5
billion to be paid in the first installment within five business
days of the satisfaction of closing conditions set forth under the
definitive agreements, subject to certain exceptions, (ii) RMB1.5
billion to be paid in the second installment on or prior to June
30, 2020, (iii) RMB1 billion to be paid in the third installment on
or prior to September 30, 2020, (iv) RMB500 million to be paid in
the fourth installment on or prior to December 31, 2020, and (v)
RMB500 million to be paid in the fifth installment on or prior to
March 31, 2021. As of the date of this announcement, NIO Anhui has
received RMB3.3 billion of the first installment, and the entire
RMB1.5 billion of the second installment. The remaining RMB200
million of the first installment would be paid prior to September
30, 2020 by the applicable investor according to the agreed payment
schedule.
NIO has also injected its cash investment of
RMB1.278 billion for the first installment and RMB1.278 billion for
the second installment and is fulfilling its other obligations,
including injecting the Asset Consideration into NIO Anhui, in
accordance with the definitive agreements.
“The strategic investments in NIO China will
provide sufficient funds to support NIO’s continuous efforts to
lead the technology and product development of the premium smart
electric vehicles, and to offer the best user experience and
services,” said William Bin Li, founder, chairman and chief
executive officer of NIO. “In the near term, we will focus on
improving our production capacity and expanding our network
coverage to further accelerate our growth. In the long term, we
remain committed to building the best user enterprise for NIO to
share a joyful life and to grow together with our users.”
About NIO Inc.
NIO Inc. is a pioneer in China’s premium smart
electric vehicle market. Founded in November 2014, NIO’s mission is
to shape a joyful lifestyle by offering premium smart electric
vehicles and being the best user enterprise. NIO designs, jointly
manufactures, and sells smart and connected premium electric
vehicles, driving innovations in next generation technologies in
connectivity, autonomous driving and artificial intelligence.
Redefining the user experience, NIO provides users with
comprehensive, convenient and innovative charging solutions and
other user-centric services. NIO began deliveries of the ES8, a
7-seater high-performance premium electric SUV in China in June
2018, and its variant, the six-seater ES8, in March 2019. NIO
officially launched the ES6, a 5-seater high-performance premium
electric SUV, in December 2018 and began deliveries in June 2019.
NIO officially launched the EC6, a 5-seater smart premium electric
Coupe SUV, in December 2019 and plans to commence deliveries in
2020.
Safe Harbor Statement
This press release contains statements that may
constitute “forward-looking” statements pursuant to the “safe
harbor” provisions of the U.S. Private Securities Litigation Reform
Act of 1995. These forward-looking statements can be identified by
terminology such as “will,” “expects,” “anticipates,” “aims,”
“future,” “intends,” “plans,” “believes,” “estimates,” “likely to”
and similar statements. Among other things, quotations from
management in this announcement, as well as NIO’s strategic and
operational plans, contain forward-looking statements. NIO may also
make written or oral forward-looking statements in its periodic
reports to the U.S. Securities and Exchange Commission (the “SEC”),
in its annual report to shareholders, in press releases and other
written materials and in oral statements made by its officers,
directors or employees to third parties. Statements that are not
historical facts, including statements about NIO’s beliefs, plans
and expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. A number of
factors could cause actual results to differ materially from those
contained in any forward-looking statement, including but not
limited to the following: NIO’s strategies; NIO’s future business
development, financial condition and results of operations; NIO’s
ability to develop and manufacture a car of sufficient quality and
appeal to customers on schedule and on a large scale; its ability
to grow manufacturing in collaboration with partners; its ability
to provide convenient charging solutions to its customers; its
ability to satisfy the mandated safety standards relating to motor
vehicles; its ability to secure supply of raw materials or other
components used in its vehicles; its ability to secure sufficient
reservations and sales of the ES8 and ES6; its ability to control
costs associated with its operations; its ability to build the NIO
brand; general economic and business conditions globally and in
China and assumptions underlying or related to any of the
foregoing. Further information regarding these and other risks is
included in NIO’s filings with the SEC. All information provided in
this press release is as of the date of this press release, and NIO
does not undertake any obligation to update any forward-looking
statement, except as required under applicable law.
For more information, please visit:
http://ir.nio.com
For investor and media inquiries, please
contact:
NIO Inc.Investor RelationsTel:
+86-21-6908-2018Email: ir@nio.com
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