Chinese EV startup Xpeng shares soar 13% after announcing $744 million deal with Didi

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Chinese EV startup Xpeng shares soar 13% after announcing $744 million deal with Didi
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Chinese electric car company Xpeng has signed yet another joint car production deal.

Chinese electric car company Xpeng said Monday it is buying Didi's smart electric car development business in an exchange of shares worth $744 million.

With the strategic partnership and new assets from Didi, Xpeng said it plans to develop an electric car for launch next year under a new mass market brand. Didi itself has tried to develop robotaxis and electric vehicles, amid business setbacks in the last two years.Vcg | Visual China Group | Getty Imagessaid Monday it is buying Didi's smart electric car development business in an exchange of shares worth $744 million.

The Chinese ride-hailing company will become a strategic shareholder of Xpeng, and the two companies are looking to cooperate in marketing, financial and insurance services, charging, robotaxis and international expansion. That's according to releases from both companies.With the strategic partnership and new assets from Didi, Xpeng said it plans to develop an electric car for launch next year under a new mass market brand that will target the 150,000 yuan price range.or more.

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