Geely's entry may bring more imagination to Lifan.

Text丨On August 21, Du Qiaomei was ruled to accept bankruptcy and reorganization by the Chongqing Fifth Intermediate People’s Court. Only four months later, the bankruptcy reorganization of Lifan Industrial (Group) Co., Ltd. is about to come to an end.

On the evening of December 21, *ST Lifan (601777) issued the "Informative Announcement of Lifan Industrial (Group) Co., Ltd. on changes in shareholders' equity and changes in controlling shareholders and actual controllers."

The "Announcement" pointed out that due to the implementation of the "Investors' Equity Adjustment Plan of Lifan Industrial (Group) Co., Ltd. Reorganization Plan (Draft)", the controlling shareholder of Lifan Industrial (Group) Co., Ltd. (hereinafter referred to as "Lifan Co., Ltd.") was transferred from Chongqing

Lifan Holdings Co., Ltd. (hereinafter referred to as "Lifan Holdings") was changed to Chongqing Azuma Equity Investment Fund Partnership (Limited Partnership) (hereinafter referred to as "Azo Fund"), and Chongqing Azuma Enterprise Management Co., Ltd. (hereinafter referred to as "Azo Company") became a company

The actual controller.

The announcement shows that this reorganization will realize the equity change by converting capital reserve funds into shares. After the equity change is completed, Azolla Fund and industrial investors will account for 29.99% and 20% of the total equity of the listed company respectively.

The shareholding ratio of the original controlling shareholder Lifan Holdings dropped from approximately 47.08% to approximately 13.75%.

With the completion of the change of controlling shareholder, *ST Lifan (601777) was suspended for one day on December 22. After the opening of trading on the 23rd, the stock price once hit the daily limit. As of the time of writing by Think Tank Jun, it was reported at 5.22 yuan, an increase of more than 5%.

Lifan changed hands. In fact, as early as the Lifan Share Reorganization Plan approved by the Chongqing Fifth Intermediate People's Court on December 1, Azolla Fund and industrial investors were identified as the implementation entities to participate in the company's reorganization investment as stipulated in the "Reorganization Plan"

Participated in the reorganization of Lifan shares.

The "Announcement" pointed out that according to the partnership agreement of Azolla Fund, Azolla Company is the sole general partner and executive partner of Azolla Fund and is responsible for executing partnership affairs and externally representing Azolla Fund, investment and other affairs, management and management of Azolla Fund.

The disposal of assets of a partnership, the exercise of rights as a shareholder or relevant equity holder of an invested enterprise, the hiring of third parties to provide services to the partnership, and the signing, delivery and performance of agreements or other binding documents are all handled by the sole

The decision may be subject to the consent of the general partner and executive partner.

Therefore, Azolla Enterprise Management, as the general partner and executive partner, according to the Partnership Enterprise Law and the partnership agreement, can have a decisive impact on the major operating and financial matters of Azolla Fund as an investment enterprise. Azolla Company has

Azolla Fund has actual control.

The changes in controlling shareholders and actual controllers also mean that Chongqing Liangjiang Management Committee and Geely have officially become the actual controllers of Lifan shares.

In fact, long before Lifan Holdings applied to the court for judicial reorganization, its intended investors had been roughly determined.

Qixinbao shows that Chongqing Manjianghong Enterprise Management Co., Ltd. was established on August 6, 2020, of which Chongqing Liangjiang Equity Investment Fund Management Co., Ltd. holds 51% of the shares and Geely Maijie Investment Co., Ltd. holds 49%.

At that time, Lifan Motors had not yet confirmed its intention to reorganize its investors; on December 14, Jianghong Fund was registered and established.

Although both Lifan and Geely responded that "everything is subject to announcement," there is speculation in the industry that Geely may become the actual controller behind Lifan shares.

Combined with the previous announcement by *ST Lifan, in this reorganization, Geely can be said to have invested in Lifan in a dual capacity.

First, Azolla Fund provided funds to Lifan Shares.

As for Azolla Fund’s general partner, Azolla Company, the major shareholder behind it is Geely Maijie Investment Co., Ltd., accounting for 49% of the shares.

Secondly, Geely Holding Group, the parent company of Geely Maijie, also participated in the reorganization of Lifan as an industrial investor.

Industrial investors are composed of Geely Maijie, Geely Technology, or companies with absolute holdings of more than 70% by Geely Maijie/Geely Technology.

More imaginations of Geely taking over According to the "Announcement", during the reorganization of Lifan Shares, Azolla Fund conditionally transferred capital reserve funds to increase shares through the Lifan Shares reorganization investor equity adjustment procedures and provided funds to Lifan Shares.

The industrial investors have conditionally transferred the capital reserve funds into shares through Lifan Co., Ltd.'s reorganization investor equity adjustment procedures, provided Lifan with high-quality industrial resources, and signed an authorization agreement with Lifan Co., Ltd. on battery-swapping pure electric multi-purpose passenger vehicles.

and related transfer agreements for base processing business or other contract processing business agreements, to promote Lifan Co., Ltd. to fulfill relevant after-sales maintenance responsibilities and to accelerate the transformation and upgrading of Lifan Co., Ltd.'s automobile and Motorcycle industries.