Leshi seeking stakes in Jia's car ventures

Move to free up funds in companies owing debts to Shenzhen-traded firm

Leshi Internet Information& Technology Corp, the listed arm of Chinese internet conglomerate LeEco, told an investor briefing on Tuesday that it is seeking to acquire equity stakes in the car businesses of its largest shareholder, Jia Yueting, to ensure the units repay the outstanding debt they owe it.

The company said the move is an effort to resolve the financial strain and supply chain problems it faces, with stakes sought in Faraday Future, Lucid Motors and LeSEE, among others. The company said it will face operational difficulties if it does not receive funds to repay its own debt.