Electric Car Wars: Tesla Faces New Chinese EV Maker
01/25/21 AT 10:38 AM
The Chinese car market is continuing to heat up and take another stab at rival Tesla, with the latest entrant getting a $3.35 billion boost in funding.
The electric car unit of Evergrande (0708.HK) raised funding through a share sale by issuing 952.38 million shares at $27.30 Hong Kong dollars each to six investors, sending its stock price surging over 67% on the Hong Kong Exchange, CNBC reported.
Evergrande raised net proceeds of 26 billion Hong Kong dollars ($3.35 billion) from the share sale, CNBC said. Investors now hold a 9.75 stake in the company, sending the EV unit’s valuation up from $17 billion to $151 billion, which Financial Times said was now higher than Ford’s current $45.8 billion valuation.