On Monday, rumours circulated on Chinese social media that Changan’s brand Avatr was in talks to acquire the startup HiPhi.
In response to these claims, Avatr posted on Weibo a statement clarifying that the information is not accurate.
The company urged everyone to continue their support and attention towards Avita as it strives to achieve its goals. HiPhi, owned by Human Horizons and founded by Ding Lei, is headquartered in Shanghai and its inaugural model, the HiPhi X, was launched in July 2019.
According to the media outlet Caixin, the company informed its employees on February 18th that it would suspend operations for six months.
This decision came after the Ministry of Investment of Saudi Arabia withdrew a plan to invest $5.6 billion in Human Horizons.
Human Horizons offers three HiPhi EV models in China, priced from 339,000 yuan to 800,000 yuan. Despite monthly sales of less than 1,000 units, the cars are produced in a plant located in Jiangsu province, formerly used by Kia.
