According to the website of Guangdong United Property Rights Trading Center, GAC Group will hold 49% of the entire equity of Guangzhou GAC BYD New Energy Bus Co., Ltd. for public listing and transfer, with a reserve price of 104 million yuan. After the completion of this property rights transfer transaction, GAC BYD New Energy Bus shall not continue to use intangible assets such as "GAC" brand name and trademark, and shall not continue to carry out business activities in the name of subsidiaries of state-funded enterprises.
According to the data, Guangzhou GAC BYD New Energy Bus Co., Ltd. was established on August 4, 2014, as a joint venture between Guangzhou Automobile Group Co., Ltd. and BYD Co., Ltd., of which GAC Group holds 49% of the shares, BYD holds 51% of the shares, with a registered capital of 300 million yuan, and the registered address is No. 6, Pearl Avenue North, Pearl Industrial Park, Conghua Economic Development Zone, Guangzhou, and the legal representative is Chen Daohong, who is the director of the operation and management department of the Guangzhou Automobile Group.
According to the announcement, GAC BYD currently has 21 employees. After the transfer of the equity of the joint venture company by GAC Group, if the employees of GAC BYD New Energy Bus choose to resign, the economic compensation shall be borne by GAC BYD New Energy Bus in addition to the economic compensation corresponding to the length of service in GAC Group Bus Co., Ltd. (hereinafter referred to as "GAC").
How did GAC Group and BYD come together? In 2014, GAC Group and BYD announced at the same time that they would establish a joint venture GAC BYD New Energy Bus Co., Ltd. According to the announcement, GAC Group, a state-owned enterprise, holds 49% of the shares, while BYD, a private enterprise, holds 51% of the shares, which means that BYD has a controlling stake. Such a shareholding ratio does prove some information, at that time GAC Group was still in a blank period in the new energy market, almost no technology, and BYD has made a small achievement, GAC Group is willing to give up control, so that BYD's brand and technology are retained, it is indeed fancy BYD's new energy vehicle technology, through the help of BYD's technology into the new energy market.
According to the plan of BYD and GAC, the joint venture project plans to invest a total of 3 billion yuan, with a total land area of 1,000 acres, of which the first phase covers an area of 700 acres, with an investment of 850 million yuan, and the annual production capacity of various new energy buses and commercial buses reaches 5,000 vehicles, with an annual output value of more than 6 billion yuan after reaching production.
At the same time, it has formed the production capacity of 6~12 meters K series pure electric buses, C series pure electric road buses and pure electric double-decker tourist sightseeing buses, and will also launch 6 meters, 7 meters, 7.5 meters of fuel version of business buses, and has lithium iron phosphate power batteries, wheel drive motors, electronic control, vehicle network mutual charging, body lightweight, intelligent and other world-leading technologies.
However, things did not seem to go in the expected direction, and the two car companies eventually parted ways, proving that the performance of the joint venture is somewhat disappointing, whether it is operational, technical, or cooperation between the two car companies. According to the announcement, in 2023, GAC BYD New Energy Bus Co., Ltd. will have an operating income of 6.53 million yuan, a net loss of 51.79 million yuan, a total debt of 779.86 million yuan, and a total asset of 679.72 million yuan. As of June 30, 2024, GAC BYD New Energy Bus Co., Ltd. has an operating income of 99.86 million yuan, a net profit of 48.83 million yuan, a total debt of 808.83 million yuan, and a total asset of 757.53 million yuan, and is insolvent.
Of course, GAC Group's withdrawal from GAC BYD and no longer participating in the cooperation project with BYD does not mean that it will not cooperate with BYD, but that the project will terminate the cooperation. It is understood that GAC BYD's production qualification has been cancelled in September. There is a view that at present, the development of GAC Group in the new energy market has also made some achievements, GAC Group may consider bidding other bus companies to enter the local area, to jointly build their own electric buses, so that they have absolute control.
Share valuable automotive news every day
Autobots' platform