Benzinga | Sep 13, 2021 09:12AM EDT

Kandi Receives Final Payment From Fengsheng Sale

Kandi Technologies Group, Inc. (the "Company," "we" or "Kandi") (NASDAQ GS: KNDI), today announced that it received the final payment from the sale of its 22% equity in Fengsheng Automotive Technologies Group Co., Ltd. back to Geely.

According to the Equity Transfer Agreement, Kandi sold back its interest for RMB 308 million (approximately $47.3 million). Kandi received 50% of the amount after the sale was approved by local Zhejiang provincial authorities and the second 50% installment within six months as stipulated in the agreement.

Mr. Hu Xiaoming, Chairman and Chief Executive Officer of Kandi, commented, "Receipt of this final payment on time adds to our substantial cash position, enabling us to pursue strategic market opportunities as they arise. In addition to the cash infusion, the exit from Fengsheng improves our flexibility to embrace opportunities up and down the supply chain without concerns about competitive conflicts. We are increasingly optimistic about our prospects, given our financial and technological strengths."