BYD Business News

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BYD have had a quick succession of rapid hits in the Chinese market, and they plan to take this to the bus and coach market within the next few years.

BYD are reportedly close to finalizing a deal that will see them take over the Hunan based Sanxiang bus company from the Midea group. BYD plans to take its electric and hybrid car building experience and install it into bus and coaches. The deal is reportedly worth around 300million RMB, BYD is expected to gain the bus maker, its factories and production equipment. BYD also has its first customer, the Shenzhen city government, lined up to take delivery of the first 1000 green buses that they have planned.

BYD Share Plans
BYD has plans to issue 100 million A-Shares on the Shenzhen stock market to further its R&D work and raise capital. A mainland share offering which will give Chinese mainland investors the opportunity to invest in arguably one of the worlds hottest car developers.

In a bid to raise car sales earlier this year, the Chinese government lowered sales tax to a very low 5% on sub 1.6l cars, this has given Chinese car makers, such as BYD a massive boost. In this year alone BYD has sold 176,814 cars in the first half of this year, as a result BYD is aiming for sales of 400,000 vehicles in 2009.