Why Kaixin Auto Holdings Shares Surged Today

Kaixin Auto Holdings KXIN shares are trading higher after the company announced it will establish a new energy vehicle business unit.

The company said the move has been 'made in the context of the Chinese government's steady support for accelerated development of EVs and the rapid growth of EV market in China.' 

Kaixin Auto Holdings operates as a used car dealership in the People's Republic of China. It also provides financing channels to its customers through its partnership with financial institutions; and value-added services to its customers, including insurance, extended warranties, and after-sales services. 

At the tie of publicaiton, Kaixin Auto shares were trading higher by 59.6% at $2.67.