NetEase Is Not Building a Car - Yet; And Other Rumors

Rumors from China may give us an idea about these companies' future plans. Or debunk the myths.
Benjamin WangApr 08,2021,20:29

NetEase Has No Plans to Build Cars

Liang Jun, the chief executive officer of NetEase Lifease recently responded to the circulating rumors that NetEase is delving into automaking. This was after the private-label e-commerce brands provider pledged a gift of 10 million yuan to car buyers at its fifth-anniversary livestreaming event.

Jun said NetEase (Nasdaq: NTES; HKEX: 9999) does not plan to build a car at the moment.

"Recently, car building has been the trend. However, we know our users’ demands. Our current goal is not to build cars, but to sell cars,” Jun added.

XPeng Inc. Opens New Dealership in Shenzhen

Zhipeng Automobile Sales and Service was established Thursday in Shenzhen, as reported by Tianyancha. The new business, owned by XPeng (NYSE: XPEV), sells new energy vehicles, electrical accessories, replacement parts, used vehicles, information consulting services and business agency services.

Bilibili Denies Acquisition of Yoozoo Games

Reuters reported recently that Bilibili (Nasdaq: BILI; HKEX: 9626) is in talks to acquire a 24% stake in gaming company Yoozoo Games and other assets as it seeks to boost its gaming business. The deal was valued at nearly 5 billion yuan ($765 million).

Bilibili denied the rumor and said it did not seek a deal with Yoozoo. Yoozoo, based in Shanghai, is the developer of the popular game "Game of Thrones: Winter Is Coming."

The market capitalization of Yoozoo is approximately $1.98 billion, 24% of the shares are valued at approximately $475 million.

Hong Kong Exchanges and Clearing reported that Bilibili was included in the list of market volatility regulation mechanism, effective from April 15.

China Resources May Acquire Pacific Securities

Shares of Shanghai-listed Pacific Securities, a Chinese investment bank and brokerage firm, rose by their daily limit on Thursday after rumors surfaced that China Resources Holdings Co. Ltd. (HKEX: 0291), a state-owned conglomerate, has offered to acquire the company.

In response to the rumors, Pacific Securities said the company will announce any deals in due time.

Topics:NetEase; Bilibili; China Resources; XPeng; China; Hong Kong; U.S.