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China's Tgood Rallies After Charging Pile Unit Attracts USD44.9 Million From Eve Energy, Nine Others
Dou Shicong
DATE:  Jun 21 2021
/ SOURCE:  Yicai
China's Tgood Rallies After Charging Pile Unit Attracts USD44.9 Million From Eve Energy, Nine Others China's Tgood Rallies After Charging Pile Unit Attracts USD44.9 Million From Eve Energy, Nine Others

(Yicai Global) June 21 -- Shares of Tgood Electric jumped after the parent of charging pile operator Teld New Energy said its unit will raise CNY290 million (USD44.9 million) via private placement from renowned investors, including battery maker Eve Energy and state-owned energy giant State Power Investment.

Tgood's stock price [SHE: 300001] rose as much as 20 percent to CNY31.18 (USD4.80) intraday. In January, the shares hit an all-time high of CNY41.47.

Teld will issue nearly 19.9 million shares at CNY14.6 apiece, reaching a valuation of CNY13.6 billion (USD2.1 billion), the Qingdao-based electrical transformer maker said in a statement yesterday. The group of 10 investors includes a Chinese affiliate of investment manager GLP.

Singapore-based GLP will invest CNY8.2 million (USD1.3 million) through a fund to hold a nearly 0.9 percent stake in Teld, per the statement. A fund of State Power Investment and Eve Energy both plan to invest almost CNY1.4 million to each hold 0.15 percent of Teld's equity. Tgood will own a 77.7 percent stake after the fundraising, down from the earlier 79.4 percent. 

Teld is raising money to prepare for a listing while improving its risk management, Beijing Business Today reported, citing Yan Jinhhui, member of an expert commission of the China Automobile Dealers Association. 

Tgood started preparing to spin off Teld for an initial public offering in China, the firm said last November.

The investors, which have rich resources in the fields of logistics, real estate, new energy and public parking, can cooperate with Teld, which should enhance its capital strength and business development, according to yesterday's statement.

Last year, Teld narrowed its net loss by 30 percent to CNY77.7 million (USD12 million) from 2019, according to the same statement. Revenue slid 8 percent to CNY1.5 billion (USD232.4 million).

Founded in 2014, Teld operates 190,0000 charging piles, capable of offering 2 million kilowatt-hours of electricity each day, in more than 280 Chinese cities, according to its website. 

Editor: Emmi Laine, Xiao Yi

 

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Keywords:   Tgood,Teld,Charging Pile