Li Auto and Didi’s EV Joint Venture Applies for Bankruptcy
2022.08.11 15:21
Li Auto (LI) and Didi’s EV Joint Venture Applies for Bankruptcy
By Michael Elkins
According to court filings obtained by Reuters, the joint venture between ride-hailing firm, DiDi (OTC:DIDIY) and electric vehicle maker, Li Auto (NASDAQ:LI), submitted a bankruptcy application to the Beijing No. 1 Intermediate People’s Court on Thursday.
The filing marks the end of a four-year partnership to develop and manufacture customized smart electric vehicles for ride-hailing services.
The venture, previously known as Beijing Judian Chuxing Technology, is 51% owned by DiDi while 49% is held by Li Auto and was among a series of partnerships DiDi struck with major automakers including Volkswagen (ETR:VOWG), Toyota (NYSE:TM), and BYD (SZ:002594) with plans to adopt more EVs with autonomous driving technologies in its fleets.
DiDi and BYD launched a co-developed EV model D1 in 2020, though most of the collaborations have made little progress.
