China’s state-owned automaker FAW Group is poised to become the largest shareholder of electric vehicle maker Leapmotor, as its step-by-step equity acquisition plan has received official approval.

The plan, which will be executed through a targeted share issuance, marks a significant expansion of cooperation between the two companies. Sources familiar with the matter said FAW Group will gradually acquire shares in Leapmotor, eventually securing a controlling stake.

The deal is expected to be officially announced on November 17, turning months of market speculation into reality.