According to the news of Red Star Capital Bureau on May 26, Evergrande Auto (00708. HK) announced that on May 16, the joint and individual liquidators entered into a term sheet with an independent third-party buyer for and on behalf of China Evergrande Group (in liquidation), Evergrande Health Industry Group Co., Ltd. and Acelin Global Limited (collectively referred to as the potential seller).
As of the date of the announcement, the potential sellers held a total of 6.348 billion shares of Evergrande Auto (accounting for about 58.5% of all issued shares). After the signing of the sale and purchase agreement and subject to its terms and conditions, it is hereby proposed that 3.145 billion potential shares for sale (accounting for about 29.0% of all issued shares on the date of this announcement) will be acquired immediately, and 3.203 billion potential shares for sale (accounting for about 29.5% of all issued shares on the date of this announcement) It will become the subject of an option exercisable by the potential buyer within a certain period after the date of the sales agreement.
It was also mentioned in the announcement that Evergrande Motor also knew that the term sheet mentioned the conclusion of a credit agreement, according to which the potential buyer (or the other party designated by it with the consent of the company) would provide Evergrande Motor with a credit line to finance the continuous operation and development of the Group's electric vehicle business. At present, Evergrande Automobile is seriously short of funds, and Tianjin Plant has stopped production since the beginning of this year. As of the date of this announcement, the Group's Tianjin factory has not yet resumed production.
Evergrande Auto said that the term sheet is not legally binding, except for confidentiality, transaction restrictions, regulatory laws and jurisdiction and other provisions. The sales agreement and credit agreement have yet to be further negotiated and finalized by both parties, so the final terms of the sales agreement and credit agreement may be different from those listed in the term sheet.
In addition, the Company will apply to the Stock Exchange for resumption of trading of its shares on the Stock Exchange from 9:00 a.m. on May 27.
Evergrande Auto's 2023 annual report shows that by December 31, 2023, Evergrande Auto had delivered more than 1389 vehicles in total. Evergrande New Energy Vehicles (Tianjin) Co., Ltd. officially mass produced in September 2022. By December 31, 2023, a total of Hengchi 5 (Configuration |Inquiry) 1700 cars.
Evergrande Auto's revenue in 2023 will be 1.34 billion yuan, of which more than 1.1 billion yuan will come from property sales; The net loss was 11.995 billion yuan. As of December 31, 2023, Evergrande Auto had total assets of 34.851 billion yuan and total liabilities of 72.543 billion yuan.
Red Star Journalist Wu Danruo
Edited by Deng Lingyao
