LeEco has repaid HKD 807 million ($103.20 million or roughly Rs. 650 crores) of a debt owed to China Merchants Bank and will seek to negotiate with the creditor to secure the release of some of its frozen assets, the wife of the embattled conglomerate’s founder said.
Gan Wei, who has been entrusted by the founder Jia Yueting to exercise shareholder rights at LeEco’s listed units and to handle asset sales, said on her official Weibo account on Sunday that the debt and interest payments owed to China Merchants Bank had amounted to HKD 1.4 billion (roughly Rs. 1,100 crores).
LeEco has repaid part of this debt after selling shares in its smartphone affiliate Coolpad Group, Gan said.
The entertainment, electronics and electric vehicles group has struggled to pay its debts after rapid expansion into multiple sectors sparked a cash crunch and a plunge in the shares of a listed unit – smart TV firm Leshi Internet Information and Technology Corp. At its peak LeEco owed creditors CNY 10 billion…