(Yicai Global) April 17 -- Shares Leshi International and Information Technology Corp. [SHE:300104] hit the 10-percent daily limit up at CNY4.55 (USD0.72) in trading this morning following news that China's third richest person has invested in Jia Yueting’s carmaking venture, Faraday & Future Inc.
US-based Faraday Future has received investment from Xu Jiayin, chairman of the second-biggest domestic property developer China Evergrande Group, Cailian Press reported industry insiders as saying.
Xu, also known as Hui Ka Yan, will set up a new special automobile team to support his cash injection. It remains unclear if the new funding is a personal investment or if it comes via Evergrande. Sources at the Shenzhen-based firm did not deny the investment, though they were unable to provide further details.
Jia Yueting, former chairman at Leshi International and Information Technology Corp., has been living in exile from the Chinese mainland after racking up billions in debt after over-stretching in his efforts to make the tech conglomerate a preeminent brand across a multitude of platforms. He resigned as chairman of the listed arm last July, leaving for the US to focus on the development of Faraday Future, a new energy supercar startup.
The firm purchased a plot of land in Guangzhou covering over 400,000 square-meters for CNY364 million through affiliate Ruiqi Smart Car (Guangzhou) Co. on April 8, which will be used for its full-electric vehicle projects.
Editor: William Clegg