Nio China today received a 10.4 billion yuan ($1.48 billion) credit facility from six Chinese banks, further strengthening its financial status.
The six banks - Bank of China, Agricultural Bank of China, Industrial and Commercial Bank of China, China Construction Bank, China I Industrial Bank and China Merchants Bank, and Nio China held a signing ceremony for the strategic cooperation.
According to the agreement, the banks will provide Nio (NYSE: NIO) China with a comprehensive credit line of RMB 10.4 billion to support Nio China's business operations and development.
At the same time, the banks are providing Nio China with a wide range of services in the areas of corporate accounts, supply chain finance, auto finance and other businesses.
Previously, Nio's delivery data showed that it delivered 3,740 units in June, setting a new record high.
Nio has posted four consecutive month-on-month increases since March, with June deliveries up 179% year on year.
Nio delivered 10,331 units in Q2, breaking the 10,000 mark for the first time.
Since its first delivery in march 2018, Nio's cumulative sales have reached 46,000 units.
On the financing front, on June 29, Nio disclosed progress on its financing from Hefei, saying it had completed the deal as planned, with strategic investors injecting RMB 4.8 billion and Nio injecting RMB 2.556 billion.
Since the beginning of the year, Nio's financing has improved significantly, with a cumulative total of RMB 435 million made from February to March 5.
On June 15, Nio announced it had completed an additional 72 million share placements at $5.95 per share and also issued 10.8 million additional subscription rights for a total of 82.8 million shares.
Nio has now raised nearly $927 million in financing this year. Together with the RMB 4.8 billion from the Nio China project, Nio has raised more than RMB 10 billion this year.
At the same time, Nio is expanding its distribution network.
As of July 10, Nio has 130 stores across China, including 22 Nio Centers and 108 Nio Spaces in China.
Nio's replenishment network is also under intense construction, with an average of one battery exchange station per week since April 5 this year.
In total, Nio has built 135 battery exchange stations, covering 59 cities in China.
At Nio Power's second anniversary event on June 28, Nio said it will build over 50 battery exchange stations in 2020.
The battery exchange station serves as the core infrastructure to support Nio's strategy. It is now still offering free battery exchanges to the first batch of Nio owners and has completed over 580,000 battery exchanges.
On June 28, Nio announced that it had substantially completed the capital injection into Nio China, with Nio completing the capital injection of RMB 2.556 billion and RMB 4.8 billion of capital injection by strategic investors.
Together with the 10.4 billion RMB credit line from the six banks, the construction of Nio China is rapidly entering into a substantial phase.
Nio is now working to strive for the release of the "next generation of cars" at the Nio Day at the end of this year, Nio co-founder Qin Lihong revealed in April.
Nio didn't reveal the specific model or gave the progress that has been made, but it's expected to be the production version of the Nio eT Preview - the Nio eT7 - which was unveiled at the 2019 Shanghai Auto Show.
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