Summary by Futu AI
Evergrande New Energy Automobile Group Co., Ltd. (Evergrande Vehicle) announced on June 11, 2024 that its subsidiary recently received an administrative penalty decision from a local administrative department due to its failure to fulfill contractual obligations and was terminated from three agreements and required to return rewards and subsidies of about RMB 190 million. The subsidiary can apply for administrative review within 60 days or file an administrative lawsuit within 6 months. In addition, Evergrande New Energy Automobile (Tianjin) Co., Ltd. also received a notice to stop production and sales of new energy passenger vehicles and carry out rectification. These events may have a significant impact on Evergrande Vehicle's financial condition and operation. The company's shareholders and potential investors should proceed with caution.