Close Menu
Nabka News
  • Home
  • News
  • Business
  • China
  • India
  • Pakistan
  • Political
  • Tech
  • Trend
  • USA
  • Sports

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

What's Hot

PM amenable to dialogue with ‘misled people’ in Balochistan

May 31, 2025

Hamas says ceasefire proposal offers ‘no guarantees’ for end to Gaza war | Israel-Palestine conflict News

May 31, 2025

PM Shehbaz arrives in Quetta on day-long visit

May 31, 2025
Facebook X (Twitter) Instagram
  • Home
  • About NabkaNews
  • Advertise with NabkaNews
  • DMCA Policy
  • Privacy Policy
  • Terms of Use
  • Contact us
Facebook X (Twitter) Instagram Pinterest Vimeo
Nabka News
  • Home
  • News
  • Business
  • China
  • India
  • Pakistan
  • Political
  • Tech
  • Trend
  • USA
  • Sports
Nabka News
Home » Evergrande’s NEV unit shares plummet after Chinese government orders it to return $262 million in subsidies
China

Evergrande’s NEV unit shares plummet after Chinese government orders it to return $262 million in subsidies

i2wtcBy i2wtcJune 12, 2024No Comments3 Mins Read
Share Facebook Twitter Pinterest LinkedIn Tumblr Email WhatsApp Copy Link
Follow Us
Google News Flipboard Threads
Share
Facebook Twitter LinkedIn Pinterest Email Copy Link


Shares in China Evergrande New Energy Vehicle Group (NEV) fell their biggest drop in nearly nine months after the Chinese government ordered units of the group to return state subsidies, deepening financial difficulties for the world’s most indebted developer.

On the Hong Kong stock market, Evergrande NEV’s shares fell as much as 26.7% at one point, closing at HK$0.34, down 20.9%, the lowest price in almost a month.

The Guangzhou-based automaker has been ordered to return 1.9 billion yuan (US$261.9 million) it received in subsidies from various local authorities after failing to meet contractual obligations, according to an overnight statement filed with the Hong Kong Stock Exchange.

China Evergrande New Energy Vehicle Group’s Hengchi electric vehicle is displayed at the 2021 Shanghai Motor Show in Shanghai on April 19, 2021. Photo: Bloomberg

Local authorities terminated the contract with Evergrande NEV in April 2019 after the company failed to meet its obligations to set up a headquarters and meet production and sales targets, according to the statement, which did not name the authorities.

According to the statement, Evergrande New Energy Vehicle must return the subsidies within 15 days of the notice or risk losing assets such as equipment, factory buildings and land allocated for vehicle assembly.

The company said the refund “may have a material impact on the financial position and business of Evergrande New Energy Vehicle or each of its relevant subsidiaries,” adding that it would apply for an administrative review of the decision.

Evergrande NEV’s woes are exacerbating the financial difficulties of its parent company. A winding up order is issued It was seized by the Hong Kong High Court in January, leaving creditors to get only a fraction of the value of $20 billion in defaulted offshore bonds.

China Evergrande shares have fallen 99% over the past four years and trading has been suspended since January 29, when shares closed at HK$0.163.

Evergrande is fine The company was fined 4.2 billion yuan in March for years of misrepresenting its revenues, and its chairman and founder, Xu Jiayan, was fined 47 million yuan. Xu, once China’s richest man according to Forbes magazine, has been subject to so-called “enforcement measures” since late November for alleged crimes.
The 5,000-square-foot mansion in Hong Kong was previously owned by Hui. It was sold last month for HK$448 million.According to Land Registry records, it will be valued at half its current value in 2023. The Peak mansion was seized by China Construction Bank (Asia) Ltd in November 2022. The buyer of the property is Revealed.

The automaker’s subsidiary in Tianjin was also ordered to stop producing and selling electric vehicles, according to a separate statement. Evergrande New Energy said it had “proactively rectified the issues after the inspection” and planned to appeal the stop-work order.



Source link

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email WhatsApp Copy Link
i2wtc
  • Website

Related Posts

China

Hainan Free Trade Port to begin independent customs operations by end of 2025-Xinhua

May 31, 2025
China

Drumbeats of fitness, tourism echo as dragon boats make waves across China-Xinhua

May 31, 2025
China

How Taklimakan Rally drives adventure, innovation and culture-Xinhua

May 31, 2025
China

International Children’s Day celebrated across China-Xinhua

May 31, 2025
China

Beijing airports hit record high in tax refunds for overseas travelers-Xinhua

May 30, 2025
China

World’s largest fleet of driverless mining trucks operate in north China-Xinhua

May 30, 2025
Add A Comment
Leave A Reply Cancel Reply

Top Posts

PM amenable to dialogue with ‘misled people’ in Balochistan

May 31, 2025

Swimming at the 2023 World Aquatics Championships Preview

January 5, 2020

21 Best Smart Kitchen Appliances 2024 – Smart Cooking Devices

January 6, 2020

World Music Day 2023: What Is It and Why Do We Celebrate It?

January 7, 2020
Don't Miss

Enlightened Americans should stay and fight, not leave | Politics

By i2wtcMay 31, 20250

For all his faults and hubris, Ukrainian President Volodymyr Zelenskyy possesses one unmistakable quality: courage.…

Truck accident unleashes 250 million honeybees in northwestern US | Environment News

May 31, 2025

Hegseth warns of China threat as Beijing’s top brass skip Singapore summit | Military News

May 31, 2025

Hegseth warns of China threat as Beijing’s top brass skip Singapore summit | Military News

May 31, 2025

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

About Us
About Us

Welcome to NabkaNews, your go-to source for the latest updates and insights on technology, business, and news from around the world, with a focus on the USA, Pakistan, and India.

At NabkaNews, we understand the importance of staying informed in today’s fast-paced world. Our mission is to provide you with accurate, relevant, and engaging content that keeps you up-to-date with the latest developments in technology, business trends, and news events.

Facebook X (Twitter) Pinterest YouTube WhatsApp
Our Picks

PM amenable to dialogue with ‘misled people’ in Balochistan

May 31, 2025

Hamas says ceasefire proposal offers ‘no guarantees’ for end to Gaza war | Israel-Palestine conflict News

May 31, 2025

PM Shehbaz arrives in Quetta on day-long visit

May 31, 2025
Most Popular

China’s premier promises more pandas, urges Australia to put differences aside

June 16, 2024

NATO Secretary General: China must pay price for supporting Russia in Ukraine war

June 17, 2024

More worries for China: Sales at major e-commerce festival fall for first time

June 19, 2024
© 2025 nabkanews. Designed by nabkanews.
  • Home
  • About NabkaNews
  • Advertise with NabkaNews
  • DMCA Policy
  • Privacy Policy
  • Terms of Use
  • Contact us

Type above and press Enter to search. Press Esc to cancel.