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Kaixin Auto Holdings Announces Entry into Vehicles Sales Contracts by Subsidiaries of Haitaoche Limited
BEIJING, March 02, 2021 (GLOBE NEWSWIRE) -- Kaixin Auto Holdings (“Kaixin” or the “Company”) (NASDAQ: KXIN) today announced that Haitaoche Limited
About this update from Kaixin Holdings
[{"type":"text","content":"BEIJING, March 02, 2021 (GLOBE NEWSWIRE) -- Kaixin Auto Holdings (“Kaixin” or the “Company”) (NASDAQ: KXIN) today announced that Haitaoche Limited (“Haitaoche”) has entered, through its subsidiaries, into two vehicles sales framework contracts (the “Vehicles Sales Contracts”) with third party customers on November 30, 2020 and December 8, 2020, respectively. Kaixin entered into a definitive share purchase agreement with the shareholders of Haitaoche on December 31, 2020, pursuant to which Kaixin will acquire 100% of the share capital of Haitaoche from the shareholders of Haitaoche.1 According to the terms of the Vehicles Sales Contracts, each of the customers agrees to purchase a total of RMB500 million (approximately US$75 million) worth of consumer vehicles from the subsidiaries of Haitaoche in 2021, and the volume of sales will then increase by at least 20 percent annually during a five-year period. The total contract amount of the two Vehicles Sales Contracts is RMB 7.5 billion (approximately US$1.2 billion). Haitaoche is a China-based online retail platform for imported automobiles. Haitaoche is committed to developing into China's leading innovative automotive retail trading platform. With a track record of good performance and reputation in the field of import car sales, Haitaoche is expanding its sales system into the field of electric vehicles. Details of the definitive share purchase agreement were disclosed by Kaixin in its 6K filing on 1/06/2021. Subject to the approval by Nasdaq and other closing conditions, the Company anticipates that the acquisition of Haitaoche share capital will close on or prior to March 31, 2021. Safe Harbor StatementThis announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements. Kaixin may also make written or oral forward-looking statements in its filings with the SEC, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statement...