China’s electric vehicle companies are pouring into the Middle East where both investors and consumers have a growing appetite for the country’s Tesla challengers.
Shanghai-based Nio announced Tuesday that CYVN Holdings, a smart mobility-focused investment vehicle majority owned by the Abu Dhabi government, will invest a total of $738.5 million in the Chinese EV maker.
Nio, which is listed on NYSE, will issue 84,695,543 Class A ordinary shares at $8.72 apiece. In addition, CYVN has entered into an agreement with an affiliate of Tencent, which invested in Nio back in 2017, to purchase 40,137,614 Class A ordinary shares from the social and gaming giant.
Upon completion of the deals, the Abu Dhabi-backed firm will own a roughly 7% stake in Nio.
BYD, which is quickly catching up on Tesla’s global market share, announced its entry into the UAE in March through a partnership with local distributor Al-Futtaim, with plans to bring four of its models, including all-electric and hybrid vehicles, to the Middle Eastern country.
More to come…
toptechtrends.com/2023/06/20/abu-dhabi-738m-china-tesla-challenger-nio/”>Abu Dhabi pours $738.5M into China’s Tesla challenger Nio by toptechtrends.com/author/rita-liao/”>Rita Liao originally published on toptechtrends.com/”>TechCrunch
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