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Kaixin Auto Holdings Announces Completion Of Morning Star Acquisition And Entry Into New Energy Vehicles Manufacturing

Aug 22, 2023•about 2 years ago

Acquiring Company

Kaixin Auto Holdings

Acquired Company

Morning Star

Fleet ManagementAutomotive

Description

Kaixin Auto Holdings (“Kaixin” or the “Company”) (NASDAQ: KXIN) today announced the closing of the acquisition of Morning Star Auto Inc. (“Morning Star”). Following the closing, Morning Star has become a wholly-owned subsidiary of Kaixin, which represents the Company's official entry into the field of new energy vehicle manufacturing.

Company Information

Company

Kaixin Auto Holdings

About

Kaixin Auto Holdings is one of the primary dealership networks in the premium used car segment and new car sales in China. Supported by the rapid growth of China's used car market and leveraging its own hybrid business model that offers both strong online and offline presence, Kaixin is in the process of transforming from a nationwide dealerships network to one of the important players in China’s electric vehicle market.

M&A Insights

Based on deal data
Integration timeline
70% of M&A integrations take 12-24 months to complete
Tech stack consolidation
83% of merged companies consolidate technology vendors within first year
Post-acquisition investment
Companies increase IT spending by 23% on average after acquisitions
Success factor
M&A deals with strong technology integration plans are 2.5x more likely to succeed