Mei Ri Jing Ji Xin Wen·2025-12-27 06:57Core Viewpoint - Xiwanda's subsidiary, Xiwanda Power Technology Co., Ltd., is involved in a lawsuit amounting to 2.314 billion yuan due to alleged quality issues with battery cells delivered to Weirui Electric Vehicle Technology Co., Ltd. [1][2] Group 1: Lawsuit Details - Weirui Electric claims that the battery cells delivered by Xiwanda Power from June 2021 to December 2023 have quality problems, leading to financial losses and is seeking compensation of 2.314 billion yuan plus interest [2][3] - The lawsuit has been accepted by the Ningbo Intermediate People's Court in Zhejiang Province [1][2] Group 2: Financial Performance - Xiwanda Power has reported revenues exceeding 10 billion yuan in the past two years but has also incurred significant losses, with projected losses of 1.56 billion yuan in 2023 and 1.87 billion yuan in 2024 [1][2] - Xiwanda's total revenue for 2024 is expected to be 56.021 billion yuan, with a net profit of 1.605 billion yuan, indicating that the net profit could cover the lawsuit amount [2] Group 3: Business Relationship - Xiwanda Power became a designated supplier for Weirui Electric in April 2021, which is a wholly-owned subsidiary of Geely Automobile [2][3] - The PMA platform project, developed jointly by Geely and Volvo, utilizes battery cells from Xiwanda Power in various vehicle brands, including Zeekr and Smart [3] Group 4: Listing Plans - Xiwanda had plans to spin off Xiwanda Power for an IPO on the Shenzhen Stock Exchange's Growth Enterprise Market, but no progress has been made to date [4] - The company reported significant revenue growth from under 500 million yuan in 2020 to nearly 13 billion yuan in 2022, despite ongoing losses [4] Group 5: Investment Projects - In February 2022, Xiwanda announced a planned investment of 12 billion yuan for a project in Zhuhai, but this project has not progressed and was terminated in April 2023 [5]