China’s Nio Aims To Raise $1.8 Billion In IPO

A Nio concept car on display during the Beijing Auto Show in April

Chinese electric vehicle company NIO (NIO) filed for a confidential IPO on the New York Stock Exchange.

China's Nio aims to raise $1.8 billion in the initial public offering, the company announced in a filing on Monday.

Nio's move to sell shares in the United States comes at a time when Tesla CEO Elon Musk has a plan to set up a huge factory in Shanghai, China to corner a market where the government is promoting new-energy vehicles with incentives for buyers.

Nio could make delivery of its more affordable ES6 sport-utility vehicle in 2019 and it expects to bring out a sedan called the ET7 in 2020. The cars provide music streaming through Tencent, and delivery services are available through China's JD.com. The automaker said that it had delivered 481 ES8 vehicles through July and had "unfulfilled reservations" for more than 17,000 electric vehicles.

Kasey Kahne to retire from full-time NASCAR racing after 2018 season
He also has eight career wins in the Xfinity Series in 215 starts, and five wins in the Camping World Truck Series in six starts. Kahne exploded onto the racing scene during his NASCAR rookie year in 2004 - posting 13 Top 5 finishes.

Nio had a net loss of $502.6 million on less than $7 million in revenue in the first half of 2018, according to the filing.

Li Bin, founder and CEO of NIO Automobile, said in an open letter in the foreword of the prospectus that 50 million shares, i.e. one-third of the total shares, will be transferred to "user trust fund".

American, Japanese and European auto giants dominate sales of combustion engine vehicles in China, but homegrown firms unencumbered by the billions sunk into refining gasoline engines are in the driver's seat when it comes to electric cars. Since the start of 2017, the company has spent more than $1.6 billion split between research and development expenses and selling and administrative costs. The billionaire has said he plans to take the money-losing company private at US$420 a share, valuing Tesla at US$82 billion. "To the extent accidents associated with our autonomous driving systems occur, we could be subject to liability, government scrutiny and further regulation". Nio has said it plans to sell cars in the US beginning in 2020, but a potential trade war between the USA and China could interfere with those plans.

The lead joint bookrunners in the deal are Morgan Stanley, Goldman Sachs and J.P. Morgan.

Related:

Comments

Latest news

Tottenham put off opening of new stadium
We appreciate the support our partner the National Football League has shown since the extent of this issue became evident today. Having stolen the advantage in the first half, the youngsters found themselves down 3-1 just ten minutes into the second period.

Qatar pledges $15 billion of investment in Turkey
Earlier on Wednesday, Erdogan spoke on the phone with German Chancellor Angela Merkel, the Turkish presidency. The lira hit a record low against the dollar on Tuesday.

China says United States solar tariffs violate trade rules, lodges WTO complaint
He told the Journal the 25 per cent tariffs on steel will rescue an industry important to United States national security. The president is engaged in trade disputes with several major economies, including China.

LG and Sprint Scramble to Offer 5G Phone
The list of the cities to get 5G connectivity include-Atlanta, Chicago, Dallas, Houston, Los Angeles, Phoenix and Washington DC. No specifics for the model or price of the 5G LG smartphone have been given.

76 people overdose on synthetic marijuana at Connecticut park
Malloy said the state departments of Public Health and Mental Health and Addiction Services were helping New Haven officials. Although there have been no deaths, at least two people suffered life-threatening symptoms, according to authorities.

Social Distortion Frontman Mike Ness Accused Of Attacking Trump Supporter
It is, admittedly, generally bad form for musicians to leave the stage mid-show to attack the people who paid to see them. Footage shows Ness motioning to Hildebrand to come toward the stage in a "say it to my face" kind of motion.

Brennan says Trump move 'designed to send message'
Brennan called Trump's behavior at a summit with Russian President Vladimir Putin " nothing short of treasonous ". The White House announced Wednesday it will be cutting off Brennan's access to classified information.

Warmer weather here to stay until 2022
Due to climate change , the planet has already gained 1 ° C since the pre-industrial era, which averages + 0.01 ° C per year. As the scientists behind the latest forecast stressed, their research is purely statistical and based on probability.

Cryptocurrency Trading Still Illegal In Saudi Arabia
The statement from the committee, however, did not state the consequences of trading in digital currencies. Bitcoin users have had to deal with their fair share of bad news in 2018.

More than 30 people overdose at downtown CT park; synthetic pot suspected
The Town of Hamden wants to remind people who use any street drugs can, and may, result in death or serious medical complications. Their symptoms included vomiting, hallucinations, high blood pressure , shallow breathing and unconsciousness, ABC News reported.

Italy declares year-long state of emergency after bridge disaster
The issue of transport in the area is now critical, given that the bridge was a major arterial route for an important port city. The prime minister has said all infrastructure across the country will be double-checked in the wake of the collapse.

Marvel's Iron Fist season 2 trailer: Danny Rand battles Steel Serpent
The move isn't all that surprising considering the fact that the first season of Iron Fist was somewhat poorly received. There's a lot of history to mine in the Iron Fist mythos, and Season 2 appears to honor that aspect of the comic books.

Jimmie Ward and DeAndre Hopkins fight at 49ers-Texans joint practice
The latest dustup came Wednesday in Houston , where a brawl broke out in the aftermath of a DeAndre Hopkins-Jimmie Ward scuffle. Hopkins wasn't happy that Ward knocked his helmet off, and then went to knock the ball out of his hands after making the catch.

The best hospitals 2018-19 honor roll
Memorial Sloan Kettering Cancer Center is ranked # 2 in the nation among the top the hospitals specializing in cancer care. Harborview Medical Center was nationally ranked in urology (32) and high performing in pulmonary services and orthopedics.

FDA approves app as a form of birth control
The app displays the message "use protection" on days a woman is likely to be fertile. A yearly subscription comes with a high-sensitivity basal thermometer.

Other news