Nio's quarterly earnings report

Nio Secures $1.9 Billion Investment, Retains 88.3% Control in China Unit

Oct 1, 2024, 03:43 AM

Chinese electric vehicle maker Nio has secured a significant investment of RMB 3.3 billion ($471 million) from a group of state-owned strategic investors, including Hefei Jianheng, Anhui Provincial Emerging Industry Investment, and CS Capital. This investment is part of a larger RMB 13.3 billion ($1.9 billion) injection into Nio China, with Nio itself contributing RMB 10 billion ($1.4 billion). Nio will hold 88.3 percent of controlling equity interest in Nio China, while the strategic investors will hold 11.7 percent. The funds will be used to expand Nio's charging and battery-swapping infrastructure. Following the announcement, Nio's stock surged, reflecting investor confidence in the company's growth prospects. Additionally, Nio's sub-brand Onvo has started delivering the L60 model, with 832 units delivered in September. Nio reported record deliveries of 21,181 vehicles in September and 61,855 vehicles in Q3 2024, marking an 11.6% year-on-year increase.