Tesla can't avoid EU probe; Nio cries fake news: This week in EVs
Investing.com — Here is your weekly Pro Recap of the past week's biggest headlines in the electric vehicle space: Nio denies reports of fundraising effort; and Tesla finds itself subject to EU probe.
As always, InvestingPro users got these headlines at lightning speed. Never miss another opportunity to secure an edge for your portfolio.
Chinese EV builder NIO (HK:9866) (NYSE:NIO) saw its shares dented amid reports of a potential $3 billion fundraising effort.
Bloomberg reported that Nio was contemplating raising an additional $3B from investors, with a particular focus on Middle Eastern backers. These reports, attributed to unnamed sources, suggested that the fundraising might occur as early as next year, although they also said talks remained in progress and were subject to change.
Nio quickly issued a statement countering these claims, asserting that they currently had no reportable capital raising activity, except for a recent convertible notes offering completed that same day.
Nio's stock price has been on a rollercoaster ride recently, with substantial fluctuations due to its ongoing financial struggles. The company reported a loss exceeding $800 million in the last quarter, and has experienced a significant decline in market capitalization — down by more than 50% year over year.
Despite these challenges, Nio remains a prominent player in the EV industry and continues to expand its product offerings, for example in recently introducing its own branded smartphone capable of synchronizing with its vehicles.
Despite that initial stumble, US-traded shares of NIO gained 12.2% for the week to $9.04 from Monday's open. Hong Kong shares were up 5.1%.
The EU has launched an investigation into Tesla (NASDAQ:TSLA) and other
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