Core Viewpoint - The lawsuit between XWDA Power and Weirui Power has been resolved through a settlement, with Weirui Power agreeing to withdraw its lawsuit after the settlement agreement takes effect [2][5]. Group 1: Lawsuit Details - The lawsuit lasted over a month, initiated by Weirui Power against XWDA Power for quality issues with battery cells delivered between June 2021 and December 2023, with claims exceeding 2.3 billion yuan [2][3]. - Weirui Power, established in 2017 and backed by Geely, accused XWDA Power of delivering defective battery cells, which led to significant concerns in the industry [2][3]. Group 2: Settlement Agreement - According to the settlement agreement, both parties will share the costs related to the replacement of battery packs based on actual expenses incurred, with XWDA Power responsible for a remaining payment of 608 million yuan after deducting its already incurred costs [4]. - XWDA Power is required to settle the costs over five years, with 60% due in 2026 and 10% each year from 2027 to 2030 [4]. Group 3: Impact on Financials - The incident is expected to impact XWDA's net profit attributable to shareholders by approximately 500 million to 800 million yuan for the year 2025 [4]. - The case highlights the growing trend of disputes between automotive companies and battery manufacturers, with previous notable cases involving LG Energy Solution and General Motors, as well as Hyundai [4].
欣旺达与吉利的诉讼案,以和解告终