Electric vehicle maker Nio has denied circulating rumors suggesting it could be acquired by BYD, China’s leading EV manufacturer. The claims, which originated from a suspected BYD employee on social media, alleged a joint venture between the two companies, with BYD holding a majority stake. Both companies have firmly denied these assertions.
The rumors, claiming BYD would take a 51% stake in a joint venture with Nio, gained significant attention due to the alleged involvement of a BYD employee. Nio dismissed the claims as baseless, while BYD also denied any truth to the speculation. The companies indicated they are considering taking legal action against the source of the rumors to prevent further misinformation.
The rumors come as BYD continues to dominate the EV market, setting records with over 500,000 vehicles sold in October, its fifth consecutive month of record-breaking sales. The automaker, which employs over 900,000 workers, is also ramping up production and expanding into international markets to sustain its growth.
Nio, on the other hand, has shown consistent growth, delivering over 20,000 vehicles in October for the sixth month in a row. The company’s new Onvo L60 SUV has driven demand, and it is preparing to launch its third brand, Firefly, with deliveries expected in 2025.
Despite the unfounded speculation, Nio remains focused on its financial performance and growth strategy. The company recently achieved positive cash flow and improved gross profit margins, positioning itself for continued expansion. It aims to double its sales in 2024 and achieve profitability by 2026, bolstering its role as a key player in China’s competitive EV landscape.
Source: CNEVPOST