NEW YORK (Xinhua) – Kaixin Auto Group, a Chinese used car platform, had its long-awaited opening-bell ceremony on Monday on the Nasdaq to celebrate its listing on the United States (US) stock exchange.
The company started trading on May 2 under the ticker symbol of ‘KXIN’ after its business combination with CM Seven Star Acquisition Corporation, a Chinese blank check company formed for the purpose of entering into business ties with one or more businesses.
Kaixin opened at USD3.25 per share on Monday to climb as high as USD3.29 apiece before decreasing 3.04 per cent to USD3.19 at close.
Founded in 2015, as a leading premium used car dealership in China, the Beijing-based company pocketed a total revenue of USD117 million in 2017 and USD431 million in 2018.
Kaixin Chairman Joseph Chen told Xinhua on Monday that the company built its competitiveness in a unique business model including on-line and brick-and-mortar dealerships as well as a network of parties that provide a range of value-added and after-sale services.
Kaixin has 14 dealerships covering 14 cities in 12 provinces across China. Its dealership operators have an average of more than ten years of experience in the used car industry, according to the company.
It also provides financing channels to customers and other in-network dealers through its partnerships with several financial institutions in China.
Chen said China’s burgeoning second-hand car market would bring tremendous opportunities to his company.
The used car market has been buoyed by a change in attitudes of Chinese consumers, especially the young, toward used cars as the market became increasingly mature, according to Chen.