Naked Brand Group Limited (NAKD) stock soared 7.28% in the pre-market trading session at the price of $5.75 following the acquisition of Cenntro Automotive Group Limited. NAKD is one of the best e-commerce companies for intimate garments. The company sells well-known intimate apparel brand Fredericks of Hollywood through its online store.
NAKD Completed Acquisition of CAG
On 31st December 2021, NAKD reported the completion of its previously announced acquisition of Cenntro Automotive Group. Earlier on 21st December 2021, the shareholders had approved the acquisition at the Extraordinary General Meeting. With the completion of the acquisition, CAG has modified its name to Cenntro Electric Group Ltd.
Peter Wang, the Chief Executive Officer of CAG, and its management team will lead the combined company. Justin Davis-Rice, NAKD’s former CEO, and Director Simon Tripp will also serve the board. At the closure of the transaction, the combined company had liabilities of $10M and cash of roughly $250M to support its organic growth.
Chief Executive Officer of CAG, Peter Wang, remarked that this landmark combined with their novel EV technology would accelerate the delivery of their electric vehicles. The acquisition will help them achieve a significant share of $2.1B EV sales by 2023. Cenntro has manufactured and supplied over 3,600 commercial EVs since 2013. They anticipate substantial growth in the upcoming five years. This transaction will offer them the working capital to subsidize a backlog and fund their financial activities.
Peter Wang further commented that their currently announced 100,000 sq. ft. assembly facility in Jacksonville has expected to provide a strong foundation for their long-term goals. With its ability to create ingenious electric vehicles to address the growing market demand, CAG is now well-positioned to scale its decentralized growth model. He thanked the Naked team and the investors who completed the acquisition successfully.
NAKD’s former CEO, Justin Davis-Rice, congratulated the whole team on this accomplishment. He added that they look onward to evolve the company as one of the best commercial EV sellers in the market. They are confident to provide their shareholders a unique investment opportunity to support global automobile electrification and sustainability.