China-Backed Apollo Future Mobility Offloads Holding in Sensitive U.S. Business

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Apollo Future Mobility counts high-profile businesspeople from the Chinese mainland, Hong Kong and Macao as major backers.

What’s new: Apollo Future Mobility Group Ltd., a Hong Kong-traded investment company with China backing, announced the sale of its holding in an American 3D printing company citing concerns over U.S. national security scrutiny.

The company said it will sell its entire 12.87% stake in Divergent Technologies in a deal expected to cost it a record loss of HK$106 million ($13.6 million).

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Apollo Future Mobility Group Ltd. will sell its 12.87% stake in Divergent Technologies due to U.S. national security scrutiny.
The sale will result in a record loss of HK$106 million ($13.6 million) for Apollo Future Mobility.
Divergent Technologies asked foreign shareholders to divest to meet U.S. regulations as its technology is classified by the U.S. government.

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Who’s Who

Apollo Future Mobility Group Ltd.: Apollo Future Mobility Group Ltd. is a Hong Kong-traded investment company with Chinese backing, formerly known as WE Solutions. It has major shareholders connected to the Chinese government and operates in investments, electric vehicle design, development, manufacturing, sales, jewelry and watches sales, and lending services. The firm is divesting its 12.87% stake in Divergent Technologies due to U.S. regulatory concerns over foreign ownership and national security.

Divergent Technologies: Divergent Technologies, based in Delaware, specializes in 3D printed structural tools utilizing proprietary hardware and software. The technology it employs is classified by the U.S. government. The company has been seeking clearance to obtain classified defense contracts in the United States. Divergent Technologies has requested foreign shareholders exceeding ownership limits, such as Apollo Future Mobility, to divest to comply with U.S. regulations.

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