A few days ago, the driving line of sight learned from the official that Geely Automobile (00175.HK) issued an announcement that the company intends to jointly invest in the establishment of a joint venture with Lifan Technology (601777.SH), the registered capital of the target company is 600 million yuan, and Geely Holdings and Lifan Technology each contribute 300 million yuan, with a shareholding ratio of 50%.
According to the announcement, the joint venture company was established in the direct management area of Liangjiang New District, Chongqing, and its business scope is vehicle design, research and development, and sales (including accessories, parts processing equipment, and automotive decoration); Import and export of goods, import and export of agents, import and export of technology; Software development; Technology development, technical services, technical advice, technology transfer.
Lifan Technology said that Geely Automobile will fully support the management and operation of the joint venture's car-making business, and jointly promote the transformation and upgrading of Lifan Technology's automobile industry with Lifan Technology, relying on Geely Automobile's systematic advantages and professional capabilities in the whole process of car manufacturing, through fine management and industrial empowerment, integrate, improve and upgrade Lifan Technology's automobile research and development system, supply chain management, technology platform, sales channels and systematic full-manufacturing management program to achieve win-win development.