Xiaodi Hou, co-founder and former CEO of self-driving truck startup TuSimple, is demanding the company’s board liquidate and return $450 million to shareholders. He is also suing TuSimple and former co-founder Mo Chen to confirm that a 2022 voting agreement granting Chen control expired in November 2024. Hou also created a website, SaveTuSimple.com, to increase awareness about his campaign to liquidate TuSimple and return cash to shareholders. The fight between TuSimple and shareholders revolves around the company’s attempts to send assets to China.
Shareholders accuse TuSimple of diverting assets towards animation and gaming businesses linked to Chen, claiming it’s a business pivot. TuSimple recently unveiled an AI-generated unit, raising concerns about self-dealing. Hou has urged a California district court to prevent U.S. assets from being transferred to China. TuSimple has defended itself against Hou’s lawsuit.
TuSimple Holdings founder, Hou Hou, has filed a lawsuit against the company and its largest shareholder, Mo Chen, for a 91% drop in shareholders’ collective investment value in less than two years. Hou also requested a postponement of TuSimple’s annual shareholder meeting to prevent governance changes before the voting rights dispute is resolved. The company’s largest shareholder is Sun Dream, an affiliate of Sina Corporation. Other large shareholders include Traton, Vanguard Group, BlackRock, and Camac Partners.
Following an investigation by the Committee on Foreign Investment in the United States in the fall of 2022, TuSimple disclosed that its workers had collaborated with Chen’s Chinese hydrogen trucking startup, Hydron, for paid hours in 2021 and had given the business access to private information. Hou was consequently removed from his roles as chairman of the board, CEO, president, and CTO, but he was still able to hold a seat on the board. Hou has insisted that there was no reason for the dismissal.
Read More News
News Source: https://shorturl.at/nguBp
One Comment