Kaixin Auto Holdings, a Chinese used-car dealership, announced on March 2 that its 100 percent-owned subsidiary of Haitaoche Ltd signed two car sales contracts with third-party customers late last year.
Each customer agreed to buy RMB 500 million ($77 million) of cars from Haitaoche's subsidiary this year, meaning sales will grow at least 20 percent annually for five years.
The total contract value of the two contracts is RMB 7.5 billion.
Kaixin Auto purchased 100% of Haitaoche's shares from Haitaoche's shareholders late last year.
The news sent Kaixin Auto's share price soaring about 18% in pre-market trading.
Kaixin Auto up 70% pre-market as it announces its subsidiary's proposed merger with Haitaoche
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