Kaixin Auto Holdings announces results of the Extraordinary Shareholders’ Meeting

Rhea-AI Summary

Kaixin Auto Holdings (NASDAQ: KXIN) held an extraordinary shareholders' meeting on May 7, 2021, where shareholders approved all agenda items. These included a share subdivision, converting each existing share into two shares of a reduced par value, resulting in an authorized share capital of US$50,000 with 1,000,000,000 shares. Additionally, shareholders approved amendments to the company's Memorandum and Articles of Association, replacing the current documents with revised ones.

Positive

• Approval of share subdivision, enhancing liquidity.
• Amendment of Articles of Association could foster better governance.

Negative

• None.

BEIJING, May 07, 2021 (GLOBE NEWSWIRE) -- Kaixin Auto Holdings (“Kaixin” or the “Company”) (NASDAQ: KXIN) today announced the results of the extraordinary shareholders’ meeting held on May 7, 2021. All agenda items presented at the meeting were approved by the shareholders, namely, (a) as an ordinary resolution that each authorised issued and unissued Ordinary share of a par value of US$0.0001 each be subdivided into 2 shares of a par value of US$0.00005 each, such that immediately following the Share Subdivision, the authorised share capital of the Company will be US$50,000 divided into 1,000,000,000 Ordinary shares of a par value of US$0.00005 each and (b) as a special resolution that the currently effective Second Amended and Restated Memorandum and Articles of Association of the Company be amended and restated by the deletion in their entirety and the substitution in their place of the Third Amended and Restated Memorandum and Articles of Association.

About Kaixin Auto Holdings

Kaixin Auto Holdings is one of the primary dealership networks in the premium used car segment in China. Supported by the rapid growth of China's used car market and leveraging its own hybrid business model that offers both strong online and offline presence, Kaixin has transformed from a tech-enabled financing platform into a nationwide dealer network that combines its own and affiliated dealers as well as value-added services.

Safe Harbor Statement

This announcement may contain forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Among other things, the business outlook for 2021 and quotations from management in this announcement, as well as Kaixin’s strategic and operational plans, contain forward-looking statements. Kaixin may also make written or oral forward-looking statements in its filings with the U.S. Securities and Exchange Commission ("SEC"), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about Kaixin’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: our goals and strategies; our future business development, financial condition and results of operations; the expected growth of the social networking site market in China; our expectations regarding demand for and market acceptance of our services; our expectations regarding the retention and strengthening of our relationships with used auto dealerships; our plans to enhance user experience, infrastructure and service offerings; competition in our industry in China; and relevant government policies and regulations relating to our industry. Further information regarding these and other risks is included in our other documents filed with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and Kaixin does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

For more information, please contact:

Kaixin Auto Holdings 
Investor Relations
Email: ir@kaixin.com 

SOURCE: Kaixin Auto Holdings

FAQ

What was approved at the Kaixin Auto Holdings shareholders' meeting on May 7, 2021?

The shareholders approved a share subdivision and amendments to the Articles of Association.

How did the share subdivision affect Kaixin Auto Holdings' share capital?

The share subdivision resulted in 1,000,000,000 shares with a par value of US$0.00005 each.

What is the new par value of Kaixin Auto Holdings' shares after the subdivision?

The new par value is US$0.00005 per share.

What changes were made to the Articles of Association of Kaixin Auto Holdings?

The current Memorandum and Articles were replaced with the Third Amended and Restated version.