GAC Group recently announced that its board of directors agreed to transfer 100% of the equity of Hunan Zhixiang Automobile Management Co., Ltd. (formerly GAC Mitsubishi) to its subsidiary GAC Aion.
The announcement stated that the transfer price was determined to be 191 million RMB based on the evaluation results of the relevant asset evaluation report (subject to the registered evaluation results); at the same time, it was agreed that GAC Aion would transfer 100% of the equity of Zhixiang Company and inject capital of 18.58 million RMB into it. billion. The source of funds is self-raised by GAC Aion.
It was previously reported that in October last year, GAC Group issued an announcement stating that it planned to implement equity adjustments and other restructuring matters for GAC Mitsubishi and GAC Mitsubishi Auto Sales Company. After the reorganization is completed, GAC Mitsubishi will become a wholly-owned subsidiary of GAC Group, and GAC Aion will use the GAC Mitsubishi plant to increase production and capacity, and plans to achieve mass production in June 2024.
In March this year, GAC Mitsubishi Motors Co., Ltd. officially changed its name to Hunan Zhixiang Automobile Management Co., Ltd. At the same time, Mitsubishi Motors Corporation and Mitsubishi Corporation withdrew from the ranks of shareholders.
GAC Aion’s sales in 2023 will be 480,000 units, a year-on-year increase of 77%. By integrating GAC Mitsubishi’s factories and assets, GAC Aion plans to expand production in June 2024 and increase basic production capacity to 600,000 vehicles per year. This is also a deployment to achieve the 1 million production and sales target in 2025.
