Following its admission of a cash crunch, LeEco said soon after that it had secured commitments for $600 million to support its automotive unit and other high-tech businesses.
The firm’s sports broadcasting unit, LeSports, also said it would cut 10 percent of its staff and restructure its business.
The unit still owes as much as $30 million in payments to the Beijing-based Super Sports Media Group, which holds exclusive rights to broadcast English Premier League games in China but has reached a compromise with rights holders to broadcast games over the New Year.
LeEco also broke ground on a new electric car plant in eastern China’s Zhejiang province on Wednesday, the official China Daily reported.
The newspaper said the first phase of the new factory would cost 11 billion yuan ($1.6 billion) to build and would produce 400,000 vehicles a year.
Shares in Leshi have fallen 40 percent since early June this year when it came off a six-month trading halt after gaining government approval for financing arrangements. It has been on its current trading halt since Dec. 6.
Leshi has a market value of some $10 billion but investors have little insight into the health of the entire LeEco group which includes privately held Leshi Holdings, which is also controlled by Jia.