juicymegaways| 58.5% of Evergrande Automobile's shares will be transferred and the first batch of 29% will be acquired immediately

Transfer from: Financial Sector

this article is fromjuicymegaways: Viewpoint Network

Opinion News: On May 26, China Evergrande New Energy Automobile Group Co., Ltd. issued an announcement disclosing information on potential share transfersjuicymegawaysand announced that trading in the company's shares will resume on May 27.

According to the announcement, on May 16, 2024, the joint and individual liquidators entered into terms and conditions with an independent third-party buyer on behalf of China Evergrande Group (in liquidation), Evergrande Health Industry Group Co., Ltd. and Acelin Global Limited.

Accordingly, the potential seller and the potential buyer may enter into a final sale and purchase agreement for the purchase and sale of the Company's shares held by the potential seller.

As at the date of this announcement, potential sellers hold a total of 6,347,948,000 shares in Evergrande Automobile (accounting for approximately 58.5% of all issued shares). Subject to the conclusion of the sale and purchase agreement and subject to its terms and conditions, 3,144,699,970 potential sale shares are proposed (accounting for approximately 29.0% of all issued shares as at the date of this announcement) will be acquired immediately, and 3,203,248,030 potential sale shares (accounting for approximately 29.5% of all issued shares as at the date of this announcement) will become the subject of an exercisable option by the potential buyer for a certain period after the date of the sale and purchase agreement.

Evergrande Automobile has also been aware of the terms and conditions mentioned in the entering into a credit agreement, pursuant to which the potential buyer (or another party designated by it with the consent of the Company) will provide a credit line to Evergrande Automobile to support the continued operation and development of the Group's electric vehicle business.

At present, Evergrande Automobile is seriously short of funds, and the Tianjin factory has no longer been in production since the beginning of this year.