Uxin announced on Friday that NIO Capital and Prestige Shine Group Limited will invest $50 million in the Chinese used-car company to help it build up to six more superstores in 2026.
- NIO Capital will fund $20 million of the deal while Prestige Shine Group will invest $30 million.
- Uxin is selling about 5.25 billion Class A ordinary shares at $0.00953 per share, equivalent to $2.859 per American Depositary Receipt.
- Uxin currently operates five used-car superstores in China: Jinan, Xi'an, Hefei, Wuhan, and Zhengzhou.
Uxin Limited (UXIN) announced on Friday that it has entered into definitive share subscription agreements with NIO Capital and Prestige Shine Group Limited to raise $50 million.
The Chinese used-car company said that proceeds from the deal will primarily be used to launch four to six new used-car superstores in 2026.
Uxin’s American Depository Receipts were up over 3% in Friday’s pre-market trade.
Deal Contours
As per the deal, NIO Capital will invest $20 million, and Prestige Shine Group will contribute $30 million to acquire about 5.25 billion Class A ordinary shares of the Chinese used-car company at $0.00953 per share, equivalent to $2.859 per American depositary share.
"The proceeds from this financing are expected to provide sufficient capital to support the launch of four to six new superstores in 2026, while also strengthening our balance sheet and further enhancing our overall financial resilience. Looking ahead, we will continue to execute our established strategy, steadily expanding our operations and further strengthening our position in China's used car retail market," Mr. Kun Dai, Founder, Chairman and Chief Executive Officer of Uxin, said.
Used Car Superstores
Uxin currently operates five used car superstores in China. On December 16, the company opened its latest store in Jinan, following openings in Xi'an, Hefei, Wuhan, and Zhengzhou.
In November, the company announced a strategic partnership with Tianjin’s government to jointly open the Uxin Tianjin Used Car Superstore with local companies. The first phase of the superstore is expected to open in the first half of 2026. In the same month, the company announced a similar deal with the local government in Yinchuan.
What Are Stocktwits Users Saying?
Retail sentiment about the U.S. ADR of Uxin was in the ‘neutral’ territory at the time of writing, while message volume stayed at ‘high’ levels.
Shares of UXIN are down over 23% over the past year.
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