International.
Gree, a Chinese manufacturer of air conditioning equipment, has announced it will enter the electric car market, following the acquisition of an SUV and bus production firm, which controls a U.S. battery brand listed on the Nasdaq.
The Asian company whose headquarters are located in Zhuhai is thus seeking to diversify its operations, focused on the air conditioning business, thanks to the purchase of Yinlong New Energy Company, a local manufacturer of electric cars.
The terms of the operation have not been revealed, as some details remain to be negotiated.
According to internal sources, Gree's decision to enter another market is related to the search for new sources of business so as not to depend entirely on air conditioning, which they consider is not at its best and whose income accounts for 95% of the total cake of the company.
During the first three quarters of 2015, Gree reported a 17% year-on-year decline in revenue to 81.5 billion yuan (11.364 billion euros), due to weak demand for these devices and excess production capacity.
