BRIEF-China Evergrande New Energy Vehicle Encounters Serious Shortage Of Funds

China Evergrande New Energy Vehicle Group Ltd:

* STILL EXPLORING WITH DIFFERENT POTENTIAL STRATEGIC INVESTORS TO INTRODUCE NEW INVESTORS TO GROUP

* AS OF DATE DUE DILIGENCE AND NEGOTIATION ARE STILL IN PROGRESS

* NEGOTIATING WITH POTENTIAL INVESTORS ABOUT SELLING SOME OF ELDERLY CARE VALLEY & OVERSEAS ASSETS OF GROUP

* AS AT DATE GROUP HAS NOT ENTERED INTO ANY LEGALLY BINDING AGREEMENT WITH ANY INVESTOR

* REMAINS UNCERTAIN AS TO WHETHER GROUP WILL BE ABLE TO CONSUMMATE ANY SUCH SALE.

* AS OF DATE GROUP IS ENCOUNTERING SERIOUS SHORTAGE OF FUNDS

* IN VIEW OF LIQUIDITY PRESSURE, GROUP HAS SUSPENDED PAYING SOME OF ITS OPERATING EXPENSES

* IN VIEW OF LIQUIDITY PRESSURE SOME SUPPLIERS HAVE SUSPENDED SUPPLYING FOR PROJECTS

* NO GUARANTEE THAT GROUP WILL BE ABLE TO MEET ITS FINANCIAL OBLIGATIONS UNDER RELEVANT CONTRACTS

* WILL LACK FURTHER CAPITAL INJECTION, EXPECTED TO AFFECT DAILY OPERATIONS OF GROUP, IF NO INVESTMENT/ASSET SALE

* NOTE IT IS UNCERTAIN WHETHER GROUP COULD SUCCESSFULLY IMPLEMENT MEASURES TO EASE LIQUIDITY ISSUES

* IF NO INVESTMENTS/ASSET SALE IN SHORT PERIOD OF TIME, WILL WORSEN ABILITY TO PAY EMPLOYEES' SALARY Source text for Eikon: Further company coverage: