On December 31, GAC Group announced that the company's board of directors deliberated and passed the "Proposal on the Capacity Construction Project of GAC E-An's Second Plant" on December 31, 2021. Agreed to the implementation of the capacity construction project of the second plant of its subsidiary, GAC Aean New Energy Automobile Co., Ltd., with a planned production capacity of 200,000 units per year, to be completed and put into operation in December 2022; The total investment of the project is 1.81 billion yuan, and the source of funds is self-financing by the enterprise.
Previously, GAC Group passed the "Proposal on the Asset Restructuring and Capital Increase of GAC Aean". According to the plan, GAC Aeon will undertake R&D personnel in the field of pure electric new energy of GAC Research Institute, and implement internal asset restructuring through cash capital increase, asset injection, cash purchase and capital reserve conversion to increase registered capital.
GAC Group increased its capital in the field of pure electric new energy such as GAC Aean with 7.407 billion yuan in cash, GAC Passenger Vehicle increased its capital to GAC Aean with physical assets such as production equipment of 3.557 billion yuan, GAC Ae-An purchased intangible assets and fixed assets related to the pure electric new energy field of GAC Research Institute and GAC Passenger Vehicles by paying 4.975 billion yuan in cash and bearing liabilities; gac Aeon will convert part of its capital reserve into registered capital.
According to the plan, after the completion of the A round of financing, GAC AE will use the capital market to seek to list at an appropriate time to build an independent capital market platform and a market-oriented incentive mechanism to promote the sustainable development of enterprises.