ZAP (OTCMKTS:ZAAP) Files An 8-K Other Events

ZAP (OTCMKTS:ZAAP) Files An 8-K Other Events
Item 8.01 Other Events

On April 3, 2017, the Board of Directors of the Company approved the initiation of due diligence with respect to the possible merger of the Company with Jonway Group’s motorcycle business with the intention of developing its “light electric vehicle” business. It is expected that the assessment of the merger and the related due diligence would be completed in the second quarter of 2017 and with a decision on the overall structure of the merger to be made by the end of the second quarter of 2017.
Pending the complete of the foregoing, the conversion by China Electric Vehicle Corporation (“CEVC”) of the Company’s Amended and Restated Promissory Note (“Note”) referred to the Company’s report on Form 8-K filed on December 29, 2016 has not been completed and the shares of the Company’s subsidiary, Zhejiang Jonway Automobile Co., Ltd. (“Jonway Auto”), have not been issued to CEVC. Upon completion of the proforma financial statements reflecting the potential merger, CEVC may elect to accept the shares of Jonway Auto or accept the shares of the Company in satisfaction of the Company’s Note.

About ZAP (OTCMKTS:ZAAP)

ZAP designs, develops, manufactures and sells electric vehicles. The Company operates through three segments: Jonway Auto, ZAP (Consumer Product) and ZAP Hong Kong. The Jonway Auto segment includes sales of the gas fueled Jonway A380 three and five-door sports utility vehicles, EV minivan and EV sport utility vehicles (SUVs), and spare parts principally through distributors in China. The ZAP Consumer Product segment includes rechargeable portable energy products, its Zapino scooter and ZAPPY3 personal transporters. The Company, through an interest in Zhejiang Jonway Automobile Co. Ltd. (Jonway), has an automobile production manufacturing facility to produce electric vehicle products. Jonway offers a small lower speed vehicle (LSV) under the name Urbee, and also provides electric vehicle (EV) SUV and EV minivan. The Company also has interests in ZAP Hangzhou, Shanghai Zapple Electric Vehicle Technologies Co., Ltd. (Shanghai Zapple) and Better World International Limited.

ZAP (OTCMKTS:ZAAP) Recent Trading Information

ZAP (OTCMKTS:ZAAP) closed its last trading session 00.0000 at 0.0195 with 120,711 shares trading hands.

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