Seres to Acquire 10% Stake in Huawei's Yingwang for $1.65 Billion

TapTechNews September 20th news, Seres disclosed the 'Draft Report of Major Asset Purchase' tonight.

According to TapTechNews, on August 25th, Seres issued an announcement that its wholly-owned subsidiary, Seres Automobile, intends to purchase the 10.00% equity of Shenzhen Yingwang Intelligent Technology Co., Ltd. held by Huawei Technologies Co., Ltd. by paying cash, and the transaction price is 11.5 billion yuan ($1.65 billion).

On January 10th, 2024, Huawei Technologies signed the 'Articles of Association of Shenzhen Yingwang Intelligent Technology Co., Ltd.' and established Shenzhen Yingwang. When Shenzhen Yingwang was established, the registered capital was 1 billion yuan, and Huawei Technologies held 100% of the equity in Shenzhen Yingwang.

Seres stated that sufficient and stable financing arrangements have been made for the payment of the transaction consideration in this transaction. The source of funds for this transaction is self-raised funds, including but not limited to solving it through self-owned funds from the operating income of Seres Automobile, equity financing methods such as shareholder capital increase, bank loans or other methods.

Seres has currently actively and steadily promoted the fundraising work, and the source of self-raised funds is sufficient, which can effectively guarantee the payment of the transaction consideration in this transaction and will not have a significant adverse impact on the financial status of the listed company.

Related reading:

'Seres intends to invest 11.5 billion yuan ($1.65 billion) in Huawei Yingwang, accounting for 10% of the equity'