Bil­lion

China Daily (Canada) - - LIFE -

LeEco, founded in 2004, started as a video-stream­ing ser­vice provider akin to Net­flix Inc, but it rapidly grew into a firm with a pres­ence in smart­phones, TVs, cloud com­put­ing, sports and elec­tric cars.

On Wed­nes­day, Leshi’s shares dropped 2.23 per­cent. Its mar­ket value has de­clined by about 10 bil­lion yuan in the past six trad­ing days.

Guo Xiangjun, who has in­vested about half of his dis­pos­able in­come into Leshi, said he is op­ti­mistic about the firm’s long-term growth, de­spite its cur­rent trou­bles.

“I don’t worry about its prof­itabil­ity. LeEco’s busi­ness spans dif­fer­ent sec­tors which can sup­port each other’s de­vel­op­ment. Jia has also hired the best global tal­ents to run new busi­ness,” Guo said af­ter at­tend­ing the in­vestor con­fer­ence.

LeEco also promised on Wed­nes­day that de­spite the fi­nan­cial pres­sure, it won’t chan­nel in­vestors’ money into its LeSEE elec­tric car project, which is fi­nan­cially in­de­pen­dent from the listed arm.

Xue Jin and Fang Wenyu con­trib­uted to this story.

Newspapers in English

Newspapers from China

© PressReader. All rights reserved.