Leshi stocks fall despite a $2.2b cash infusion

The Shenzhen-listed unit of Chinese internet major LeEco saw a 1.12 percent decline in its share prices on Monday, despite the claim that a $2.2 billion investment from Sunac China Holdings Ltd could help solve its cash crunch.

Leshi Internet Information and Technology Corp's shares slipped to 35.40 yuan ($5.14) at Monday's close.

Jia Yueting, founder and CEO of LeEco, said at on Sunday that with Sunac's investment, its cash crunch was almost over, but that the new capital would not go into its cash-burning electric car business.