China’s state-owned Chongqing Changan Automobile Co Ltd is reportedly in discussions to acquire struggling Chinese electric vehicle manufacturer Human Horizons, according to a report by financial news outlet Yicai. The news was revealed by Changan Chairman Zhu Huarong.
Ding Lei, the founder of Shanghai-based Human Horizons known for its Hiphi-branded EVs, met with Zhu in Chongqing on February 27, as per Yicai, citing an unnamed source.
See also: Human Horizons’ HiPhi Brand Halts Production Amid Operational Challenges
Changan Auto acknowledged the meeting between Ding and Zhu in response to Reuters but refrained from commenting on the reported acquisition or merger talks.
The company, established in 2017, informed its staff on February 18 of a six-month operational suspension, as reported by financial media outlet Caixin. This decision came after the Ministry of Investment of Saudi Arabia withdrew a plan to invest $5.6 billion in Human Horizons.
See also: HiPhi Founder Apologizes, Vows Turnaround as Production Halt Sparks Concern
Human Horizons currently offers three Hiphi EV models in China, with prices ranging from 339,000 yuan ($47,089.87) to 800,000 yuan. The vehicles, which see monthly sales below 1,000 units, are manufactured at a facility in eastern Jiangsu province that was previously used for producing Kia cars.
