In early May, a Neta Auto owner reported to ChinaEVHome that the automaker’s app had suffered a three-day network outage. Screenshots provided by the owner showed the app could no longer display community forums, charging statuses, or the official store.
The hashtag “#NetaAutoWebsiteAppOutage” quickly trended online, reigniting concerns about the embattled EV maker’s struggles.
Tech Planet reported today that Neta Auto’s investors, particularly state-backed shareholders, have lost confidence in the founding team.
Neta Auto’s shareholders include state-backed entities, industrial capital, and strategic investors. Nanning MinSheng New Energy Industrial Investment Partnership (LP), holding a 13.162% stake as the largest shareholder, is significantly backed by Nanning SASAC. Other state investors include government funds from Yichun (Jiangxi) and Tongxiang (Zhejiang).
The report revealed that most shareholders lacked full visibility into Neta Auto’s financials before and after investing. For instance, Zhou Hongyi, founder of 360 Group and a Neta investor, expressed concerns about the company’s finances during a livestream with former CEO Zhang Yong.
In October 2021, Zhou’s 360 Group planned to invest 2.9 billion yuan for a 16.594% stake, making it the second-largest shareholder. However, Zhou halted further investments after injecting only 1.9 billion yuan due to financial irregularities.
Since October 2024, multiple government investors have submitted written inquiries regarding Neta’s operational status, funding, IPO progress, and production licenses.
ChinaEVHome reviewed data from multiple platforms showing Neta Auto sold 159 units in January and 377 units in February 2024 in the Chinese market, while sales figures for March and April 2024 remain unavailable.
As of now, Neta Auto has not responded to these reports.
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