After the production and sales data in January excluded Ruilan Automobile, which triggered market speculation,On February 20th, it was officially announced that Zhejiang Jirun, a subsidiary company, had signed an agreement to sell all the shares of Ruilan Automobile for 504 million yuan.
Sell 45% equity of Ruilan Automobile
According to the release on the Hong Kong Stock ExchangeOn February 20th, Zhejiang Jirun, a subsidiary company, entered into an agreement with Geely Qizheng.According to the agreement, Zhejiang Jirun agreed to sell and Geely Qizheng agreed to buy 45% equity of Ruilan Automobile at a cash consideration of RMB 504 million.
Geely Automobile said that after the completion of the disposal, the Group will no longer own any equity of Ruilan Automobile, and it is estimated that the Group will record the proceeds from the disposal of approximately RMB 117 million.
It is understood that Ruilan Automobile was established in January 2022 by Zhejiang Jirun and Geely Holding.Each contributed 300 million yuan, and the equity ratio was 50%. In June 2023, after Zhejiang Jirun jointly increased its capital to Ruilan Technology, its shareholding in Ruilan Technology increased to 55%, and that of Zhejiang Jirun decreased to 45%.
After the latest sale is completed, Ruilan Automobile will be held by Lifan Technology and Geely Qizheng, 55% and 45% respectively. According to the announcement, Geely Qizheng is mainly engaged in investment holding business, which is wholly owned by Li Shufu, chairman of Geely Holding Group, and his contacts.
Ruilan Automobile is mainly engaged in providing trams and services. Its products include Maple Leaf Series and Ruilan Series. Among them, Maple Leaf 80V, Maple Leaf 60S and other power exchange models mainly focus on the B-end market, while Ruilan 7 and Ruilan 9 mainly focus on the C-end market. The data shows that in 2023, Ruilan Automobile sold 38,000 vehicles.
Source: Ruilan Automobile official website
Geely Automobile said that Ruilan Automobile is committed to establishing an intelligent power exchange ecosystem and providing competitive products and services to the market. It started the power exchange business in 2022. At present, the power exchange business of Ruilan Automobile is still in its infancy, and it is expected that the main resources and continuous capital investment will be used to develop the power exchange ecology and related infrastructure. In view of the Group’s competitive advantage in the China automobile market, the Group believes that most of its resources will be concentrated on support.Automobile growth and the sale of power exchange business can enhance the competitiveness of the Group.
Sales in January increased by 110% year on year.
Since the beginning of the year, the sales volume of Geely Automobile has increased significantly. Data show that in January this year, Geely Automobile sold 213,500 vehicles, up about 110% year-on-year. Not only hit a record high, but also exceeded for the first time.Become the industry "sales crown" in January.
Among them, Geely Automobile’s performance in the automotive field is remarkable. In January, the company sold 65,800 vehicles, up 591% year-on-year, accounting for 30% of the total, setting a record high. Specifically, the sales of pure electric vehicles were 36,300, a year-on-year increase of 306%; Plug-in hybrid vehicles sold 29,500 vehicles, a year-on-year increase of 49.19%.
In terms of brands,The brand delivered 12,500 vehicles in January, a year-on-year increase of more than 3 times; The sales volume of Lectra was 28,000 vehicles, a year-on-year increase of 155%; Geely Galaxy series sold 19,000 vehicles, an increase of over 59% from the previous month.
It is understood that after achieving sales of over 1.68 million vehicles in 2023 and exceeding the previously set sales target, the sales target of Geely Automobile will be 1.9 million vehicles in 2024, including about 800,000 new energy vehicles.
On February 19th, Yan Jiayue, CEO of Geely Automobile Group, said that Geely brand will launch three new energy products this year, and Geely Galaxy will firmly create high-value new energy smart boutique cars with the price range of 100,000 yuan to 200,000 yuan for users.