BYD Founder Cashes 230 million Yuan, Worries about Future

BYD has announced that Zuoquan Xia who holds 5% stock share of BYD cashes 6 million shares of BYD by bulk trading platform. The reason is because of his investment company capital requirement, but not as saying goes “do not like the outlook of BYD”. BYD has its Technical Analysis Conference recently. According to the secondary market performance, investor has confident with the future of BYD.

As announcement, Zuoquan Xia has reduced 6 million unlimited shares by bulk trading platform of Shenzhen Stock Exchange, which takes 0.26% of BYD total shares. Reduction price is 38.89 Yuan per share, and totally cash 233 million Yuan. Zuoquan Xia holds 118.98 million shares after the reduction, which takes 5.05% of the total share of BYD.

Zuoquan Xia said that the share reduction takes small part of his holding. The reason is for gathering capital for Shen Zhen Zhengxuan investment Co. Ltd, which is found and managed by him. The company has invested some projects and concern with a large number of capitals. Since capital supply chain domestically is limited recently, and cost is relatively high, so he decided to reduce part of his stocks.

Zuoquan Xia said that it is not because of loss confident of the future of BYD, and it is still possible for him to hold more shares after investment cash flow situation of his company becomes better.

BYD has held Technical Analysis Conference at Shenzhen on 10th this month. The company has announced that it will adopt “dual-drive strategy”, which refers hybrid and pure electronica vehicles strategy. “Dual-diver and dual-engine” vehicle will take 90% of its new cars in the future. New model will be geared with green hybrid and pure green technology. Stock price of BYD hits trading limit on 11th, and keeps rising on 12th, and price falls back to 40.51 Yuan per share at closure.