I have done a good deal of DD at this point. It has been called Warren Buffets' "favorite auto stock".
BYD Auto plans for listing on A-share market in 2011
BEIJING, Jan. 14, 2011 (Xinhua News Agency) -- BYD Auto is applying for listing on the mainland A-share market in 2011 and plans to issue up to 100 million A-shares, said a report by Beijing Times.
The Shenzhen-based auto and battery maker has submitted listing application to the China Securities Regulatory Commission but the exact time of listing is still subject to the approval of the Chinese regulator, the report said.
The company had intended to list A-shares as early as in 2008 but had to hold off for the global financial crisis and other concerns.
BYD set up an ambitious sales target of 800,000 units for 2010, up 100 percent from the 400,000-unit target for 2009.
However, BYD's auto business was greatly affected by the expiry of policy incentives for vehicles with a displacement of 1.6 liters and below, due to its comparatively few varieties of products.
BYD incurred month-on-month sales decline for four months running starting from June 2010, statistics from the China Association of Automobile Manufacturers (CAAM) show.
In last August, BYD lowered its 2010 annual sales target to 600,000 units from the original 800,000.
BYD sold only about 520,000 vehicles for the whole year of 2010, covering 87 percent of its modified annual target.
The 2010 annual sales reflected a roughly 15 percent growth from 2009, much lower than the national average of about 30 percent.
Previously in 2008, MidAmerican Energy (OTCBB:MWPSP) (OTCBB:MDPWN) (OTCBB:MDPWM) (OTCBB:MDPWL) Holdings Co. under billionaire Warren Buffet's Berkshire Hathaway Inc. (NYSE:BRK A) purchased a 10 percent stake in BYD at 230 million US dollars. (Edited by Shi Chunjiao, shichunjiao@xinhua.org)
This company has potential.
