Naked Brand $NAKD Stock Bottom Test On Acquisition

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NAKD stock was testing a bottom going into news on December 31, 2021, of the acquisition of Cenntro Automotive Group.

Naked Brand Group Completes Acquisition of Cenntro Automotive Group

On December 31, 2021, Naked Brand Group Limited (NASDAQ:NAKD) and privately-held Cenntro Automotive Group Limited, have announced that they have completed the previously announced acquisition of the outstanding capital stock of three entities comprising Cenntro Automotive Group, which acquisition was approved by Naked shareholders at an Extraordinary General Meeting on December 21, 2021, and Nasdaq’s Listing Qualifications Department on December 30, 2021. In connection with the completion of the acquisition, the Company changed its name to “Cenntro Electric Group Limited.”

CAG’s management team, including Chairman and Chief Executive Officer Peter Wang, will lead the combined company. Naked’s former Chairman and Chief Executive Officer Justin Davis-Rice and Non-Executive Director Simon Tripp will remain on the board of the combined company. In connection with the closing, the Company has divested its FOH Online business.

As of the close of the transaction, the combined company has in excess of US$250 million in cash to fund organic growth, through capacity expansion and to provide the working capital to support a substantial backlog and less than US$10 million in liabilities.

“We believe that today’s milestone combined with our unique commercial EV technology will help us accelerate the delivery of our commercial electric vehicles and take a significant share of the approximately $2.1 billion EV sales forecast by 2023,” said Peter Wang, Chairman and Chief Executive Officer of the Company. “Since 2013, Cenntro has produced and delivered over 3,600 commercial electric vehicles. We expect significant growth over the next five years. Today’s transaction provides us with the working capital necessary to support our substantial backlog and to finance our plans to scale production in 2022 through new facilities in Jacksonville, Florida and Dusseldorf, Germany. We expect our recently announced U.S. based 100,000 square-foot full-capacity assembly facility in Jacksonville, Florida to provide a strong foundation for our long-term growth.

“Not only do we design and produce unique commercial EV technology, but Cenntro has proven that it has been able to produce and deliver a growing number of commercial electric vehicles that are being used by leading consumer companies. In December 2021, we produced over 600 of our newly launched Logistar™ 200 model, or LS200, a light urban delivery vehicle purpose-built to navigate European streets, our highest volume in a single month to date.

“With our IP and the ability to design and produce innovative electric vehicles that address the needs of growing market demand, we are well positioned to scale our decentralized production model, which we expect will allow us to grow production at a lower average cost than other EV companies. The board of CAG would like to thank the team at Naked and its group of investors for the successful completion of the transaction.”

Justin Davis-Rice added, “We congratulate the team at Cenntro on today’s accomplishment and look forward to the Company’s continued evolution as one of the most successful commercial EV players in the market. We are confident the Company will provide shareholders with a unique investment opportunity that supports global vehicle electrification and sustainability that we believe will deliver long-term value. I look forward to collaborating with the Company as it strategically positions itself to achieve its growth objectives.”

Transaction Overview

The shareholders of Naked immediately after the conclusion of the Transaction own approximately 31.85% of the combined company, and CAG and its equity stakeholders own approximately 68.15%, on a fully diluted basis.

About Naked Brand Group Limited

Naked Brand Group Limited (NASDAQ: NAKD), prior to the consummation of the transaction, was a leading e-commerce business in intimate apparel and was the exclusive seller and marketer of renowned intimate apparel brand Fredericks of Hollywood via its online store www.fredericks.com. For more information about the company, please visit https://www.nakedbrands.com

About Cenntro Automotive Group:

Cenntro, which has now been acquired by the Company, is a commercial EV technology company with advanced, market-validated electric commercial vehicles. Cenntro plans to lead transformation in the auto industry through scalable, decentralized production and fully digitalized autonomous driving solutions used in connection with the Cenntro iChassis. Cenntro has sold and delivered 3,600 commercial EV in more than 16 countries as of November 2021.

Cenntro Produces and Delivers First Logistar 200 Light Urban Delivery Electric Vehicles to European Markets

On December 27, 2021, Cenntro Automotive, a leading EV technology company with advanced, market-validated commercial vehicles, announced that it produced and shipped 628 the newly launched model Logistar 200, or LS200, a light urban delivery vehicle purpose-built to navigate European streets. The Company has experienced strong demand from its European and American customers for its new models. The company today also reaffirmed its 2022 guidance to deliver a minimum of 20,000 vehicles.

“We are excited about our achievements in December, the successful launch of new model LS 200 in the European markets, and the ability to ramp up our production for the different models. These are significant milestones for a successful electric vehicle business. We not only demonstrated our abilities to design and produce innovative electric vehicles that address the needs of growing market demand, but we also continue to demonstrate our capabilities to produce and deliver the vehicles to our customers.” said Peter Wang, Cenntro’s Chairman and Chief Executive Officer, “With the working capital injection from the merger with Naked Brand Group, and the market demand for our vehicles, we are confident that we will meet our production guidance of 20,000 vehicles next year. We are well positioned for accelerated growth in 2022 and beyond.”

Cenntro to Participate in CES 2022, the World’s Largest Consumer Technology Event, in Las Vegas, NV

On December 20, 2021, Cenntro Automotive, a leading EV technology company with advanced, market-validated commercial vehicles, announced that it will participate in the upcoming 2022 Consumer Electronics Show (CES), the world’s largest consumer technology trade show, to be held January 5-8, 2022 in Las Vegas.

The Company will showcase its new EV models and state-of-the-art smart chassis, the iChassis. The iChassis is a “Skateboard” platform that redefines last-mile delivery and urban service with built-in autonomous driving capabilities. The iChassis operates on Cenntro’s Smart App, a fully digitalized driving control platform powered by Cenntro’s proprietary technology.

Cenntro’s Smart App technology integrates with the Cenntro iChassis for different vertical applications including autonomous driving for municipal services from package delivery, mobile vending machine and delivery, city sanitation, city surveillance, auto transportation, and rescue services. Production of the iChassis will commence in Q1 2023.

“CES is the largest and most anticipated event in the tech space and we are excited to exhibit our latest products,” stated Peter Wang, Cenntro’s Chairman and Chief Executive Officer. “As a company dedicated to advancing the future of mobility, we are proud to showcase our logistics solutions for autonomous delivery. We are confident that Cenntro’s product portfolio is well-positioned to become a critical provider of urban autonomous mobility.”

Members of Cenntro’s executive team will attend CES 2022 and industry analysts can schedule a meeting with Cenntro, and learn more about the Company and its products at booth 5405 in the West Hall of the Las Vegas Convention Center from January 5-8, 2022.

📽 NAKD Stock Merging With Cenntro EV Car Company: Watch Before You Buy!

CENN Stock Merging With Cenntro EV Car Company: Watch Before You Buy!

📈 Naked Brand Group Stock Technical Analysis

NAKD stock chart

The short-term trend is negative, as is the long-term trend. When comparing the yearly performance of all stocks, we notice that NAKD is one of the better-performing stocks in the market, outperforming 79% of all stocks. However, this overall performance is mostly based on the strong move around 10 months ago. NAKD is currently trading near the lower end of its 52-week range, which is not a good sign considering that the S&P500 Index is trading near new 52 week highs at the moment.

There is a resistance zone ranging from 8.03 to 8.12. This zone is formed by a combination of multiple trend lines and important moving averages in the weekly time frame. There is also a resistance zone ranging from 9.83 to 9.93. This zone is formed by a combination of multiple trend lines in multiple time frames.

The technical rating of NAKD is bad and it also does not present a quality setup at the moment. Price movement has been a little bit too volatile to find a nice entry and exit point. It is probably a good idea to wait for a consolidation first. Click here to sign up for email alerts on when NAKD stock consolidates and is a good entry.

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