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Leap Motor Secures Major Investment, Shares Surge Amid Expansion Plans

January 22, 2024
in Technology
Leap Motor Secures Major Investment, Shares Surge Amid Expansion Plans
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Chinese EV maker Leap Motor has recently secured a strategic investment of HKD 659 million. The subscription price for each H share stands at HKD 43.8, marking a hefty 70% premium over the company’s current market value. This move underscores the investors’ confidence in Leap Motor’s growth potential and strategic direction.

The capital injection will primarily fuel the research and development of intelligent electric vehicle technology, a field that Leap Motor has been pioneering. It will also enable the company to expand its sales network, bolster its brand recognition, and strategize for overseas market penetration, thereby strengthening its foothold in the global electric vehicle market.

This funding round follows the Stellantis Group’s significant investment of 1.5 billion euros to acquire a 20% stake in Leap Motor. In addition to this capital commitment, the two companies established a joint venture aimed at propelling market expansion, a move indicative of the growing synergies in the electric vehicle sector.

The market has responded positively to these developments. As of the time of this report, Leap Motor’s stock (09863.HK) has surged by 8.53%, reflecting the investor community’s optimistic outlook on the company’s future.

SEE ALSO: Tesla Cybertruck Will Start Its China Tour, Registration Is Now Open

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