Chijet Motor Company Secures Commitment to Expand Private Placement to $1 Billion Following Strong Investor Demand

Rhea-AI Summary

Chijet Motor Company (NASDAQ: CJET) has secured a significant expansion of its private placement offering, increasing from $20 million to $1 billion following strong institutional investor interest. The company announced this development through a Memorandum of Understanding (MOU) with institutional investors.

This 50-fold increase in committed capital will fund Chijet's strategic transformation into the digital asset custody and storage market. The company plans to develop advanced infrastructure for secure digital asset custody and pursue strategic acquisitions in the digital asset storage ecosystem.

Positive

• Secured commitment to expand private placement from $20M to $1B, representing a 50-fold increase
• Strong institutional investor confidence demonstrated through significant capital commitment
• Strategic transformation into high-growth digital asset custody market
• Enhanced financial flexibility for infrastructure development and strategic acquisitions

Negative

• Significant pivot away from core motor business indicates potential operational risks
• Substantial transformation into new market segment may face execution challenges
• Entry into competitive digital asset market may require significant resources and expertise

News Market Reaction

-4.38% 9.9x vol

50 alerts

-4.38% News Effect

+189.2% Peak Tracked

-13.7% Trough Tracked

-$749K Valuation Impact

$16M Market Cap

9.9x Rel. Volume

On the day this news was published, CJET declined 4.38%, reflecting a moderate negative market reaction. Argus tracked a peak move of +189.2% during that session. Argus tracked a trough of -13.7% from its starting point during tracking. Our momentum scanner triggered 50 alerts that day, indicating high trading interest and price volatility. This price movement removed approximately $749K from the company's valuation, bringing the market cap to $16M at that time. Trading volume was exceptionally heavy at 9.9x the daily average, suggesting significant selling pressure.

Data tracked by StockTitan Argus on the day of publication.

Investors Exercise Option to Scale Investment 50x from Initial $20 Million Offering

New York, Oct. 01, 2025 (GLOBE NEWSWIRE) -- Chijet Motor Company, Inc. (NASDAQ: CJET) (“Chijet” or the “Company”) today announced that it has entered into a Memorandum of Understanding (“MOU”) with certain institutional investors for an expanded private placement offering of up to $1 billion. This significant expansion from the Company’s previously announced $20 million private placement on September 26, 2025, reflects robust institutional confidence in Chijet’s strategic transformation into the high-growth digital asset custody and storage market.

The expanded private placement represents a 50-fold increase in committed capital, which will be utilized to fund the Company’s digital currency business initiatives, including the development of advanced infrastructure for secure digital asset custody and innovative storage solutions. This transformative pivot positions Chijet to capitalize on the rapidly growing demand for digital asset services.

"This extraordinary vote of confidence from our investors validates our strategic vision and execution capability," said Ms. Melissa Chen, CEO of Chijet. "The 50-fold expansion of committed capital provides us with significant financial flexibility to develop secure crypto custody infrastructure and pursue strategic acquisitions in the rapidly growing digital asset storage ecosystem."

About Chijet Motor Company, Inc.

The primary business of Chijet is the development, manufacture, sales, and service of traditional fuel vehicles and NEVs. State-of-the-art manufacturing systems and stable supply chain management enable the Company to provide consumers with products of high performance at reasonable prices. In addition to its large modern vehicle production base in Jilin, China, a factory in Yantai, China will be dedicated to NEV production upon completion of its construction. Chijet has a management team of industry veterans with decades of experience in engineering and design, management, financing, industrial production, and financial management. For additional information about Chijet, please visit www.chijetmotors.com.

Forward-Looking Statements

This press release contains forward-looking statements as defined under Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, formulated in accordance with the 'safe harbor' provisions of the Private Securities Litigation Reform Act of 1995. These statements, reflecting the Company's projections about its future financial and operational performance, employ terms like 'believes,' 'estimates,' 'anticipates,' 'expects,' 'plans,' 'projects,' 'intends,' 'potential,' 'target,' 'aim,' 'predict,' 'outlook,' 'seek,' 'goal,' 'objective,' 'assume,' 'contemplate,' 'continue,' 'positioned,' 'forecast,' 'likely,' 'may,' 'could,' 'might,' 'will,' 'should,' 'approximately,' and similar expressions to convey the uncertainty of future events or outcomes. These forward-looking statements are based on the Company's current expectations, assumptions, and projections, involving judgments about future economic conditions, competitive landscapes, market dynamics, and business decisions, many of which are inherently challenging to predict accurately and are largely beyond the Company's control. Additionally, these statements are subject to a multitude of known and unknown risks, uncertainties, and other variables that could significantly diverge the Company's actual results from those depicted in any forward-looking statement. These factors include, but are not limited to, varying economic conditions, competitive pressures, and regulatory changes. Because of these and other risks, uncertainties and assumptions, undue reliance should not be placed on these forward-looking statements. In addition, these statements speak only as of the date of this press release and, except as may be required by law, the Company undertakes no obligation to revise or update publicly any forward-looking statements for any reason.

Investor Relations Contact:
Matthew Abenante, IRC
President
Strategic Investor Relations, LLC
Tel: 347-947-2093
Email: matthew@strategic-ir.com

FAQ

What is the size of Chijet Motor Company's (CJET) new private placement commitment?

Chijet has secured a commitment to expand its private placement to $1 billion, up from the initial $20 million offering announced on September 26, 2025.

How will CJET use the proceeds from the $1 billion private placement?

The proceeds will be used to fund Chijet's digital currency business initiatives, including development of advanced infrastructure for secure digital asset custody and storage solutions, as well as strategic acquisitions.

What is the significance of CJET's strategic transformation?

The transformation represents Chijet's pivot from motor business to the high-growth digital asset custody and storage market, positioning the company to capitalize on growing demand for digital asset services.

How much did CJET increase its private placement commitment?

CJET increased its private placement commitment by 50 times, from the initial $20 million to $1 billion, following strong institutional investor demand.

Who announced the CJET private placement expansion?

Melissa Chen, CEO of Chijet, announced the private placement expansion, describing it as an extraordinary vote of confidence from investors that validates their strategic vision.