LETV obtains RMB 15b investment from Sunac China, no auto business involved

On the afternoon of January 15th, LETV held a press conference with Sunac China, announcing that Sunac China would invest RMB 15b in LETV and other non-listed businesses. It’s the first time that LETV welcomes its second biggest shareholder in history.

Among the RMB 15b investment, RMB 6.04b will be used to purchase 8.61% shares of Leshi Internet Information and Technology Corp., and RMB 7.95b will purchase 33.5% shares of Leshi Zhixin, and another RMB 1.05b will buy 15% shares of Le Vision Pictures.

Sun Hongbin summarized that the strategic investment is made upon recognition on Jia Yueting and his team. Besides, the investment would not change Jia’s actual controlling situation or his team. “I am doing investigation on LETV since my first meeting with Jia Yueting 36 days ago. I am positive on Jia’s entrepreneurship and LETV’s future developments.” Sun said.

Jia Yueting and Sun Hongbin all express the importance of funds in LETV’s developments. “The RMB 15b investment has solved fund shortage problem once and for all.” In the next, LETV will promote its organization abilities and optimize capital structure in fund level. It will keep on sprinting on dozens of billion dollars’ revenue target in business level. Jia also stressed that, “Auto business has significant importance in LETV’s future 10-year developments.” He also revealed that the first round of financing at LE-Auto will begin soon, with no details are disclosed.

Sun Hongbin also expresses his optimism on the first FF model, which made debut in Las Vegas at the beginning of this month. “Considering the tight schedule, I have no time to investigate LETV’s auto business.” “The coming of electric vehicle age prepares us opportunities to compete with European or American enterprises.”