Kandi Technologies Announces Initial Launch of RMB 730 Million Supply Chain Finance Program
05/02/2017
Jinhua, China - (May 2, 2017) - Kandi Technologies Group, Inc. (the "Company" or "Kandi") (NASDAQ GS: KNDI), today announced that Kandi Electric Vehicles Group Co., Ltd. (the "JV Company", a 50/50 joint venture between Kandi and Zhejiang Geely Holding Group) has for the first time obtained a RMB 730 million (approximately US$105.8 million) supply chain finance (SCF) program, to be used as capital support for the JV Company, from the NationalEconomic and Technological Development Zone of Rugao City. The first tranche of RMB 197 million (approximately US$28.6 million) has already been received, and the remainder will be provided according to the JV Company’s capital requirements.
Mr. Hu Xiaoming, Chairman and Chief Executive Officer of Kandi, commented, “the JV Company’s production and sales were significantly impacted over the past year because of confusion regarding certain EVs manufactured and sold by the JV Company during 2013 and 2014 that used the reusable battery exchange model. Fortunately, these difficulties were resolved after dialogue with government authorities.With the subsidy installment payments we are now receiving and with the generous support of the Rugao Economic and Technological Development Zone, the JV Company will resume normal production activities in May. The JV Company’s management team is confident about regaining the momentum in EV sales in 2017.”
Note:All the currency conversions from RMB to USD referred to in this press release are based on an exchange rate of 1RMB = 0.1450 USD, published by www.xe.com on the date before the release of this press release.
Mr. Hu Xiaoming, Chairman and Chief Executive Officer of Kandi, commented, “the JV Company’s production and sales were significantly impacted over the past year because of confusion regarding certain EVs manufactured and sold by the JV Company during 2013 and 2014 that used the reusable battery exchange model. Fortunately, these difficulties were resolved after dialogue with government authorities.With the subsidy installment payments we are now receiving and with the generous support of the Rugao Economic and Technological Development Zone, the JV Company will resume normal production activities in May. The JV Company’s management team is confident about regaining the momentum in EV sales in 2017.”
Note:All the currency conversions from RMB to USD referred to in this press release are based on an exchange rate of 1RMB = 0.1450 USD, published by www.xe.com on the date before the release of this press release.
