From R&D To Runways: Kaixin Auto Reveals Strategic Move To Own 100% Of WM Motor

Kaixin Auto Holdings KXIN has signed a non-binding acquisition term sheet with WM Motor Holdings Limited and is planning to issue a certain number of new shares to acquire 100% of equity of WM Motor held by its current shareholders.

WM Motor is a smart new energy vehicle company in China with capabilities in product design, R&D, supply chain management, vehicle and battery pack manufacturing, online digital marketing, sales and services channels, auto financing, etc. 

WM Motor has its own core technologies in the fields of vehicle integration, battery, motor and electric control systems, smart cockpit, and autonomous driving.

WM Motor has developed and delivered four models of smart electric vehicles in volume E5, EX5, EX6, and W6, and the delivery of the M7 model is forthcoming. 

WM Motor has sold over 100,000 smart electric passenger cars in about 200 cities in China and operates two Industry 4.0 intelligent manufacturing factories in Wenzhou and Huanggang, respectively.

"WM Motor's fashion technology product positioning and branding has a good match with Kaixin's strategic development goals," said Kaixin Chairman and CEO Mingjun Lin.

Price Action: KXIN shares are trading higher by 8.5% at $0.2775 on the last check Monday.