Apollo Future Mobility Group Disposes of Ideenion Automobil AG
Strengthens strategic position in developing luxury smart electric passenger cars business
(Hong Kong, 23 December 2022) — Apollo Future Mobility Group Limited (“AFMG” or the “Company”, HKEX stock code: 860, together with its subsidiaries, the “Group”) announces that the Group has reached an agreement to dispose the entire issued share capital of its direct wholly-owned subsidiary, Ideenion Automobil AG (“Target Company”), a German automotive engineering services outsourcing provider (“Disposal”), to Mobility Technology Group Inc. (“Buyer”) for a total cash consideration of EUR15 million (equivalent to approximately HK$124,350,000). (“Consideration”). The Buyer is held as to 35.72% by MTG Holding Inc., as to 32.14% by FIC Global Inc., a company listed on Taiwan Stock Exchange (stock code: 3701) and as to 32.14% by Wistron Corporation., a company listed on Taiwan Stock Exchange (stock code: 3231).
The Disposal is in line with the Group's strategic plan on electrification as the Group strives to becoming a leader in smart mobility services industry. The Company intends to use the proceeds from the Disposal for research and development on its own branded vehicles development business and related business, and as general working capital of the Group. Upon completion of the Disposal, it is expected that the Company will not record any gain or loss from the Disposal as the Consideration is equivalent to the net carrying value of the Target Company as at 30 September 2022.
Mr. Ho King Fung, Eric, Chairman of AFMG, commented, “We are delighted to have reached an agreement on the Disposal which will allow the Group to realize its investment in its subsidiary at a reasonable price while further streamlining the Group's business and enabling the Group to focus
capital and management resources on further developing its more promising own branded hypercars and luxury smart EVs businesses.”
Mr. Ho continues, “To capture the strong development momentum of the smart mobility industry, the Group will soon launch and produce a new luxury smart electric passenger car model. We believe that the Disposal will enable the Group to further optimize its operation management thereby enhancing the Group's growth potential and maximize returns for shareholders.”