Deutsche Bank reiterated a Buy rating on Nio Inc. (NYSE:NIO) Monday, with a 12-month price target of $11.00, after the Chinese electric automaker announced a $2.2 Billion investment deal with Abu Dhabi’s CYVN Holdings.
“Our initial view is this move eliminates the near-term overhang around capital runway given sheer size of the deal.” Wrote analysts in a note.
The investment follows July’s nearly $740m round (including taking over $350m from Tencent), bringing CYVN’s overall stake to 20% and enabling nomination of two directors to the Board.
Read More : Deutsche Bank Provides Insights on Nio’s Recent $2.2 Billion Investment Agreement