Nio recovers on Friday morning after hitting one-month low on Thursday amid GIC lawsuit
The recovery comes a day after the counter dived as much as 13.8 per cent to US$6
[SINGAPORE] Shares of Nio recovered on Friday (Oct 17) after diving to a one-month low a day earlier, when a lawsuit filed by GIC against the China electric vehicle (EV) maker wiped billions off the group’s market value.
The counter pared down its losses on Friday morning, after closing Thursday 9.5 per cent or US$0.66 lower at US$6.30.
Shortly after the market opened on Friday, it rose as much as US$0.45 or 7.1 per cent above Thursday’s closing price to US$6.75 as at 9.10 am.
By 9.43 am, it was trading 5.4 per cent or S$0.34 higher at S$6.64, with some 181,170 shares transacted.
Nio’s shares fell as much as much as 13.8 per cent or US$0.96 to a one-month low of US$6 on Thursday. This comes after news broke that Singapore’s sovereign wealth fund GIC lodged a lawsuit against it.
The suit alleges that Nio unlawfully recognised immediate revenue of more than US$600 million from a battery asset and leasing joint venture, Weineng Battery Asset, which was actually controlled by Nio and which it failed to disclose.
