SHANGHAI December 20th, 2016 ZXZC – According to cvworld.cn, SAIC announced on Dec 16th that, it would enlarge the scale of stock right in SAIC-IVECO HONGYAN Commercial Vehicle Co., Ltd by increasing capital. After the equity transfer is completed, SAIC will directly hold 53.92% stakes and indirectly hold 6.04% stakes of SAIC-IVECO HONGYAN, a total of 59.96% equity stakes, and become a dominant shareholder of the latter.

What’s more, NAVECO, the joint-venture established by MAXUS, IVECO and their parent company SAIC in China, will sign the Agreement for Business Transfer and M&A of Assets and Liabilities, integrating Yuejin business into MAXUS.

SAIC enlarge stock by capital increase; Development of Hongyan speed up

SAIC-IVECO HONGYAN Commercial Vehicle Co., Ltd (SAIC-IVECO HONGYAN for short) was established on June 15th, 2007. Its original shareholder were SAIC-IVECO Commercial Vehicle Investment Co., Ltd (SAIC-IVECO Investment) and 

., Ltd (CQME Official), 50:50 joint ventures built by SAIC and IVECO Commercial Vehicle Co., Ltd. This time, the three shareholders are to proactively adjust the stock equity according to China’s market conditions for commercial vehicles and the venture’s development plans after friendly negotiation. SAIC will enlarge its stock equity by increasing capital. After the equity transfer is completed, SAIC-IVECO Investment and CQME Official will hold 12.08% and 34% stocks of SAIC-IVECO HONGYAN respectively, and SAIC will directly hold 53.92% stakes and indirectly hold 6.04% stakes of SAIC-IVECO HONGYAN, becoming a dominant shareholder of the latter.

SAIC enlarge the scale of CVs; Yuejin Business will be integrated

NAVECO, the company jointly established by MAXUS, IVECO joint-stock company (IVECO) and their parent company SAIC Motor Corporation Limited (SAIC Motor) in Nanjing, will sign the Agreement for Business Transfer and M&A of Assets and Liabilities and integrate Yuejin business into MAXUS.

The action is an overall arrangement for commercial vehicles in SAIC’s 13th Five Year Plan, and is aimed to promote the perfection of the production line of commercial vehicles and speed up the integration of resources.