Asia Tech Wire (Apr 22) -- Chinese auto parts supplier Wanfeng Auto Wheel (002085.SZ) clarified again on Sunday that the rumor that the company is forming a flying car joint venture with Tesla is not true.

Responding to a question on an investor interactive platform (IIP) late Thursday about the progress of its eVTOL venture with Tesla, Wanfeng Auto Wheel said, "We have set up a project team with our partner, and are working with domestic and foreign technology, operation and management teams to discuss business plans, investment plans and other issues."

As the company did not explicitly mention Tesla in its reply, it triggered various speculations and discussions among investors.

Shares of Wanfeng Auto Wheel hit a limit up on Friday, ending the trading day at 16.07 yuan.

After the stock price soared, the company issued a statement later in the day denying that it had formed a flying car project team with Tesla.

It said the partner with which the company has set up a joint venture in the eVTOL field is the head office in China of a well-known global automobile OEM, although "it cannot yet disclose its name due to commercial confidentiality."

Shortly after Wanfeng Auto Wheel made its clarification, it received regulatory filings from the Shenzhen Stock Exchange and the Zhejiang branch of the China Securities Regulatory Commission (CSRC).

The regulators said the company's response to the IIP on Thursday "contained misleading statements" and violated relevant regulations.

Founded in 2001, Wanfeng Auto Wheel now focuses on the lightweighting of automotive metal parts and the manufacturing of specialized general aviation aircraft.

Low-altitude economy has attracted much attention in China this year, and related listed companies have seen their share prices rise. Since February this year, shares of Wanfeng Auto Wheel have surged more than 170%.