NIO will launch an IPO in the U.S.
NIO, a Chinese electric car maker, will be listed on the New York Stock Exchange on Sept. 12 (Beijing time evening) under the code "NIO". According to Reuters, the initial public offering is estimated to be $6.25, making the valuation of NIO motor about $6 billion 400 million. This also makes NIO the second electric car maker to launch an initial public offering (IPO) in the United States after Tesla.
NIO car model parked outside the New York Stock Exchange on Sept. 11th, in New York, 2018. [Photo provided to China Plus]
What's worth noting is that in the supplementary IPO prospectus NIO submitted to the Securities and Exchange Commission (SEC) on August 28th, the company is expected to raise around $1.5 billion U.S. dollars at maximum. That is about $30 million U.S. dollars less than the previously proposed $1.8 billion U.S. dollars. According to the latest prospectus, the revenue of NIO is $6.9 million (46 million yuan) in the first half of the year, and the car sales take up about $6.7 million (44.4 million yuan).
Poster of NIO Company hang outside the New York Stock Exchange on Sept. 11th, in New York, 2018. [Photo provided to China Plus]
According to the data, the net losses of NIO in 2016 and 2017 were about 2.5 billion yuan and 5.5 billion yuan respectively. NIO automobile has already lost over 3 billion yuan in the first half of this year. This means that in 2018, the net loss of NIO automobile may be a new high.
People are taking pictures of the NIO car outside the New York Stock Exchange on Sept. 11th, in New York, 2018. [Photo provided to China Plus]
At the same time, the latest NIO prospectus disclosed the ES8 capacity and delivery. As of August 28, NIO produced 2,200 ES8, with 1,311 delivered, and another 15,000 orders to be delivered. Among which, 9,497 were pre-deposit orders. People paid only 5000 yuan as the deposit money to place the order and it can be refunded, meaning a large number of orders would be cancelled if there is a late delivery.