The Edge Singapore has reached out to GIC for comments. GIC invested in Nio back in 2017, as part of a RMB600 million round.
Besides the company, defendants include CEO William Li and former CEO Feng Wei.
According to various China-based news websites including Caixin, GIC says Nio inflated its revenue and profits. It did so by setting up a battery asset company, Weineng, in partnership with other battery makers.
As described by CarNewsChina.com, the issue lies with Nio's Battery-as-a-Service, and over how revenue should be recognised.
See also: Honda cuts outlook on global chip shortage, gloomy EV demand
GIC's suit alleges that Weineng helped Nio recognise substantial revenue while moving battery depreciation costs off its balance sheet.
Nio's SGX quoted shares are down 2.73% to trade at US$6.77 as at 10.50 am, but up 51.8% year to date.
