According to an article in the Shenzhen Daily it seems that the financial situation of LeEco is “far worse than expected”. The rumours about the financial situation are already going for a while, but it seems that these rumours have became reality due to the fact that the assets of LeEco’s chairman Jia Yueting and the company has been frozen now. It’s said by Tencent News, which has a document released by the Shanghai High People’s Court on June 26th, that these assets have a worth of around $182 million.
In a shareholder meeting, Jia said “We had thought some 9 billion yuan for the non-listed units would have been able to solve all the problems. The result obviously did not meet our expectations”. In that same meeting Yueting admitted that the company’s cash problems were “far worse than expected”.
It seems that the end of LeEco is, unfortunately, nearby.