NIO Inc. Announces Key Details for Convertible Note Repurchase

NIO Inc. Highlights Note Repurchase Right Opportunity

NIO Inc. (NYSE: NIO; HKEX: 9866; SGX: NIO), renowned for its role in the smart electric vehicle sector, has made an essential announcement regarding its 0.50% Convertible Senior Notes maturing in 2027. This initiative allows noteholders to exercise a repurchase right, accentuating NIO's commitment to its investors and transparent communications.

Understanding the Repurchase Right

The repurchase right enables holders to request the repurchase of their Notes—either partially or in full—facilitating a seamless transition with respect to their investments. This option is available for integral multiples of US$1,000. For example, if a holder has US$3,000 in notes, they can choose to redeem all or just part of that amount. Repurchases will occur on February 1, 2025, providing investors a timely opportunity to reassess their portfolios.

Key Timelines to Note

The window to exercise this right will open at 9:00 a.m. New York City time on December 30, 2024, and close on January 30, 2025, at 5:00 p.m. Interested parties are encouraged to review the Repurchase Right Notice, available via The Deutsche Bank Trust Company Americas. This clarity exemplifies NIO's commitment to investor relations and transparency.

Completion of the Repurchase Process

NIO will handle these transactions directly, adhering to its outlined procedures within the Indenture. Currently, around US$378,525,000.00 of the Notes remain outstanding, showcasing a significant financial vehicle for the company's capital structure. As the repurchase date coincides with an interest payment date, investors who tender notes will receive interest accrued until January 31, 2025, on February 3, 2025, the following business day.

Further Insights on the Note Structure

Holders of these notes should be fully aware of the implications of exercising this right. Repurchasing at 100% of the principal allows stakeholders to manage their investments in line with current market conditions. This strategic move illustrates NIO's responsibility to its investors, ensuring they have the opportunity to reassess their financial commitments without passing on opportunities for gains.

NIO's Commitment to Stakeholders

NIO aspires to not only lead in electric vehicle manufacturing but to also prioritize stakeholder engagement. The manufacturer was founded with a mission to cultivate an eco-friendly future through innovative practices and continued growth within the electric vehicle industry. Their ongoing commitment is evident through their product lines and the support provided to their investor community.

Investor Support and Communication

The company encourages investors to direct inquiries regarding the repurchase process to The Deutsche Bank Trust Company Americas. This line of communication signifies NIO’s prioritization of investor clarity and support. For direct inquiries or additional information regarding the Repurchase Right Notice, shareholders can leverage provided contact details, ensuring all concerns are promptly addressed.

Frequently Asked Questions

What is the right of repurchase announced by NIO Inc.?

The repurchase right allows holders of NIO's Convertible Senior Notes to request repurchase of their notes up to an integral multiple of US$1,000 until January 30, 2025.

When is the repurchase date for the Convertible Senior Notes?

The repurchase date for the notes is February 1, 2025, with interest payments being made on February 3, 2025, to eligible holders.

How can a holder exercise the repurchase right?

To exercise the repurchase right, holders must follow the transmittal procedures outlined in the Repurchase Right Notice available through The Deutsche Bank Trust Company Americas.

Is NIO planning any additional capital initiatives?

While no additional capital initiatives have been publicly outlined at this time, NIO consistently innovates and adjusts its approach to funding and growth as market conditions evolve.

How can investors learn more about NIO Inc.?

Investors can gather more information about NIO Inc. and other relevant updates on their official investor relations website.

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