China Evergrande EV Struggles to Attract Investors Amid Liquidity Crisis
China Evergrande New Energy Vehicle (EV) acknowledges its difficulties in securing strategic investors amidst the company's severe liquidity crisis. This crisis has significantly hindered operations and delayed crucial audits for 2024.
"Market conditions in China's new energy vehicle industry have posed challenges to our efforts to find investors," the firm stated.
As an EV subsidiary of debt-ridden real estate developer China Evergrande, the company continues to seek strategic partnerships to stabilize operations and resolve the liquidity crisis. Cost-cutting measures have been implemented through workforce reductions, and limited funds are now prioritized towards maintaining essential functions like production plant upkeep and machinery.
China Evergrande EV aimed to rival Tesla and once surpassed Ford Motor in market valuation. However, the parent company's debt crisis has significantly impacted its EV subsidiary.