(Yicai Global) Feb.17 -- Chinese electric vehicle startup Nio's share price tumbled even lower after Hillhouse Capital Management said that the former third-biggest investor has sold its last holdings of the stock that has now fallen over 60 percent from its all-time peak logged less than a year ago.

Nio's stock price [NYSE: NIO] dropped 6.45 percent to USD3.77 yesterday. It priced its shares at USD6.26 and raised USD1 billion in its September 2018 initial public offering. 

Hillhouse Capital filed with the US Securities and Exchange Commission on Feb. 14 that it had exited Nio in the fourth quarter of last year. The Beijing-headquartered investment manager had also sold 668,300 Tesla shares which have skyrocketed in the past couple of months, as well as pared its holdings of Apple and Amazon.

"This is a normal phenomenon," online news outlet China News Service reported today, citing an anonymous executive at the Shanghai-headquartered car firm, talking specifically about the Nio share sale. "Business is business, and the investor's thinking is understandable."

Hillhouse Capital participated in Nio's multiple finding rounds and came to own as much as 7.5 percent of its equity, according to public data. On Feb. 14, the financial firm also disclosed that it is now betting on the fields of pharma and remote work as it has landed investments in three biomedicine companies, as well as US video conference platform maker Zoom Video Communication.

Editor: Emmi Laine