New progress in Gaohe Automobile’s bankruptcy and reorganization: 15.7 billion yuan in arrears, eager to “come back to life”

Gaohe Automobile has made substantial progress in its bankruptcy and reorganization.In the past, the high selling price of Gaohe Automobile caused dismal sales of the brand's models, and the tight capital chain became the last straw for Gaohe Automobile. It is reported that Gaohe Automobile is a brand of Chinese Horizons and will enter bankruptcy pre-reorganization procedures in August 2024.

Recently, according to the "Ruling on the Merger and Reorganization of Fifty-Two Companies in the Human Horizons Group" issued by the People's Court of Yancheng Economic and Technological Development Zone,For the first time, the assets and liabilities of Chinese Express and information about mutual bond investors were announced.

In terms of assets and liabilities,The total combined book assets of the 52 companies of Chinese Express are 5.983 billion yuan, and the book liabilities are 15.781 billion yuan.

At the same time, during the pre-reorganization period, the total amount of claims declared by creditors is approximately 22.8 billion yuan, and the total amount of claims that have been preliminarily reviewed and confirmed by the interim administrator exceeds 10 billion yuan.

According to the first-instance judgment, the applications for substantive merger and reorganization of 52 applicants including Chinese Horizon Jiangsu Company complied with legal provisions and were approved. This means,Gaohe has entered the stage of substantial merger and reorganization. Its debts will be sorted out and divested, and the company can be restarted while waiting for funds.

However, the People's Court of the Yancheng Economic and Technological Development Zone also stated that the above-mentioned 52 applicants are all affiliated enterprises. The 52 applicants have mixed properties, mixed personnel, mixed office spaces, mixed business management, and mutual guarantees between the applicants. The business and property of the members of each affiliated enterprise are also difficult to distinguish.

At the same time, due to the large differences in the assets and liabilities of each applicant, and the uneven distribution of effective assets and external claims, if they are reorganized separately, it will inevitably lead to inconsistent creditor settlement rates of each company, and even the creditors of some companies cannot be paid off.Therefore, separate reorganization may harm the interests of all creditors in fair settlement, while combined reorganization will be conducive to safeguarding the interests of creditors in fair settlement.

In addition to Gaohe, WM Motor and Jiyue Automobile are also eager to seek ways to regain funds through bankruptcy and reorganization.

If Gaohe can be "resurrected", it may become the first new power car company to fall and stand up again., and previous old car owners and suppliers will also be protected.