36.7 F
New York
Wednesday, December 2, 2020

Kaixin Auto [NASDAQ: KXIN] Stocks Are One Fire. Here’s Why

Must read

Vodafone [NASDAQ: VOD] and RingCentral signs a partnership to provide next-generation services

Vodafone signed a strategic alliance with Ring Central . The association will modify business connections and alliances. The enterprises have joined hands to...

Salesforce [NYSE: CRM] Enters A Deal To Acquire Slack

Salesforce engages in a contract to buy Slack at a worth of $27.7B. This purchase to build an operating system for the...

Xilinx [NASDAQ: XLNX] Announced That It Acquired Falcon Computing

Xilinx Inc. declared that it has purchased falcon Computing Solutions to make flexible computing more accessible and easily adapted by computer programmers. The...

Luokung Corp. [NASDAQ: LKCO] To Acquire EMG For RMB 836 Million

Luokung Technologies Corp. a location-based service company has agreed to buy EMG technologies for Ren Min Bi  836 million. The company will pay...

Kaixin Auto Holdings [NASDAQ: KXIN] has disclosed today that it has entered into a ‘Binding Term Sheet’ with Haitaoche Limited on November 3, 2020. The company has also announced changes to its senior management team.

As per the terms and conditions of the Binding Term Sheet, Haitaoche & the newly formed wholly-owned subsidiary of Kaixin will be merged. After the merger, Haitaoche will continue its operations as the wholly-owned subsidiary of Kaixin.

Kaixin Auto revealed that it will provide a number of ordinary shares of Kaixin to Haitaoche’s shareholders. They will receive 51% of share capital after the closing of the merger.

Shares of Kaixin Auto Holdings [NASDAQ: KXIN] soared 79.42% at 4.930 at the time of writing on Thursday. It has a trading volume of 14.17 million as compared to the average volume of 6.51 million.

Kaixin has a 52-weeks low range of $0.40 and a high range of $13.40. It has traded up 592.33% from its 52-weeks low and traded down -79.33% from its 52-weeks high.

Turning our focus on its liquidity, it has a current ratio of 1.00 and a quick ratio of 0.60. KXIN market capitalization has remained high, hitting 183.07 million at the time of writing.

Now look at the company’s Binding Term Sheet with Haitaoche, Haitaoche will involve the company in the business of selling its vehicles as part of the merger. It is also planning to involve the company in other projects after the merger.

Haitaoche is best known as the e-commerce platform for imported automobiles. It is a Chinese-based company that is currently trying to become the largest retailer platform for the automobile in China.

After the execution of transaction, the shareholders of Haitaoche will be able to appoint a majority of directors of Kaixin.

Now, look at the management changes which both companies have made after the agreement. Mr. Jinfeng Xie & Mr. Chen Ji will leave their position from November 3, 2020. Mr. Chen Ji was the CEO and Mr. Jinfeng Xie was the COO of Kaixin.

Hence, the Boards of Directors of the company has named Mr. Mingjun Lin as the company’s acting CEO, effective as of November 3, 2020. Mr. Mingjun Lin is the founder of Haitaoche.

He has keen experience in automotive internet media. He has served in senior management positions in Tencent and TOM before founding Haitaoche.

More articles

Latest article

Nokia [NYSE: NOK] Extends Collaboration With AT&T to Deliver Seamless IoT Connectivity

Nokia Corp. declared that the company has extended its contract with AT&T . The collaboration among the companies can supply and provide an...

Wendy [NASDAQ: WEN] Strikes A Deal With Rebel Foods To Open 250 Cloud Kitchens.

Wendy’s Co. and Rebel foods have partnered to open about 250 cloud kitchens in India. These kitchens will only serve the customer with...

Tesla [NASDAQ: TSLA] Recalls 9537 SUV’s Because Of Manufacturing Issues

Tesla Inc. has released safety recall orders for more than 9500 of its vehicle in the United States. The vehicles include Model Xs...

Northrop [NYSE:NOC] awarded a deal of $4.8B for Global Hawk Aircraft

Northrop Gruman Corp. has been awarded a deal to perform development, transformation, retrofit, and sustenance activities for the Global Hawk Program. This deal...

Athene Enters Into An Agreement With Hertz To Buy Donlen Corp.

Athene Holdings ltd. entered into a deal to buy Donlen corporation from Hertz Global Holdings Inc. Hertz's fully own Donlen Corporation. The stock...

Verizon [NYSE: VZ] Announced to acquire Tracfone for $6.25 billion.

Verizon Communication Inc. declared that it penned down a deal with America Movil to purchase Tracfone for $6.25B. The companies came to terms...

ViacomCBS [NASDAQ: VIAC] Agreed To Sell Simon And Schuster For $2.175 Billion In Cash

ViacomCBS Inc. declared that it entered into an agreement with Penguin Random House LCC to sell Simon and Schuster. It will be sold...

IBM [NYSE: IBM] Plans To Cut Down 20% Of Its Workforce

International business machines Corp. declared that the company is preparing to cut down 10,000 jobs in Europe which makes it’s 20% of the...