NewsDialy
A reorganization plan, the court-supervised process through which an insolvent company restructures its debts rather than liquidating, has been put forward for Hozon New Energy Automobile Company, the bankrupt Chinese parent of battery electric vehicle startup Neta Auto.
The plan was circulated after a fourth creditors meeting held online on September 11.
Under the draft, a newly formed company called Zhejiang Taiyi Shanglian Enterprise Management Partnership would invest CNY 3 billion (US$447 million) to acquire a 70.6% controlling stake in Hozon.
Taiyi Shanglian was established earlier this year by two Zhejiang-based companies, Zhejiang Shanzi Holdings Company and Zhejiang Shanzi Yuxu Technology Company, specifically to pursue this transaction.
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