Samsung Buys $450 Million Stake in Chinese Electric Car Firm BYD

Samsung Buys $450 Million Stake in Chinese Electric Car Firm BYD
Advertisement
Samsung Electronics is to pay CNY 3 billion ($450 million or roughly Rs. 3,022 crores) for a stake in Chinese automaker and rechargeable batteries firm BYD Co Ltd, the Chinese company said in a stock exchange filing on Thursday.

Automakers and technology companies have formed a series of partnerships in recent years as the race to develop electric, self-driving, Internet-connected vehicles has created demand for more electronics components and software.

The Samsung investment has been made through Chinese subsidiary Shanghai Samsung Semiconductor and gives the Korean firm a 1.92 percent stake in BYD, making it the ninth largest investor in the company.

Samsung Electronics said last week it was in talks to acquire a stake in BYD to boost its automotive chip business, after the Korea Economic Daily first reported that Samsung had agreed to buy a stake.

BYD, which also counts Warren Buffet's Berkshire Hathaway as a backer, began as a battery maker for personal electronics before launching its automotive business that focuses on electric and hybrid vehicles.

A total of six investors bought BYD shares in a placing at CNY 57.40 per share, a discount to Thursday's closing share price of CNY 61.94 .

The CNY 14.5 billion private placement also included investments by CCB Principal Asset Management, China Life AMP Asset Management, Aegon-Industrial Fund Management and Essence Fund.

© Thomson Reuters 2016

Comments

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.

Google Chrome to Replace WebView in Android 7.0 Nougat
Pokemon Go to Get Chat App Made by Gaming Hardware Company Razer
Facebook Gadgets360 Twitter Share Tweet Snapchat LinkedIn Reddit Comment google-newsGoogle News

Advertisement

Follow Us
© Copyright Red Pixels Ventures Limited 2024. All rights reserved.
Trending Products »
Latest Tech News »