Core Viewpoint - The Singapore Government Investment Corporation (GIC) has filed a lawsuit against NIO, alleging that the company inflated revenue and profits through its partnership with Wuhan Weinan Battery Asset Co., misleading investors and causing GIC to incur investment losses [1][2]. Group 1: Lawsuit Details - GIC claims that NIO misled investors by not disclosing its actual control over Wuhan Weinan, which reportedly generated over $600 million in battery leasing revenue [2][3]. - The lawsuit pertains to GIC's purchase of NIO shares between August 11, 2020, and July 11, 2022, during which GIC alleges it suffered significant losses [3]. - The lawsuit references a short-selling report by Grizzly Research from June 2022, which accused NIO of using an unconsolidated affiliate to exaggerate revenue and profit margins [4][5]. Group 2: Company Response - NIO has responded to the allegations, stating that the lawsuit is not related to its recent operational status and is based on unfounded claims from the Grizzly Research report [1][4]. - An independent investigation was conducted by NIO's board with the assistance of third-party international law firms and forensic accounting firms, concluding that the allegations in the short-selling report lacked factual basis [5]. - Following the release of the Grizzly report, several major financial institutions, including Morgan Stanley and JP Morgan, issued bullish reports on NIO, suggesting that the short-seller's claims may not be accurate [5]. Group 3: Market Impact - Following the news of the lawsuit, NIO's stock price fell significantly, with an 8.99% drop in Hong Kong and a 7% decline in pre-market trading in the U.S. [4]. - The lawsuit has been temporarily suspended by a judge, indicating a potential delay in proceedings [2][5].