Nezha Auto responds to failure of debt-to-equity swap

It is reported that Nezha Auto's plan to reduce debt by "debt-for-equity" to obtain new financing has failed because there are still hundreds of millions of yuan of debt that cannot be resolved. The so-called "debt-for-equity" means changing from a creditor to a shareholder. It is understood that the total amount owed by Nezha Auto to suppliers is about 6 billion yuan. The original plan was to resolve half of the debt, that is, 3 billion yuan, through the "debt-for-equity" plan to attract new investors. However, in the end, only about 2 billion yuan of debt was resolved through "debt-for-equity", and the remaining several hundred million yuan failed to reach an agreement, resulting in the failure of Nezha Auto's "debt-for-equity".