The chief financial officer of Chinese electric-car maker Nio Inc. resigned from the troubled company effective Wednesday, citing personal reasons.

The company has started a search for a replacement for Louis Hsieh, who has been CFO at Nio since May 2017, Nio said Monday.

The abrupt resignation is most likely related to Nio’s new financing strategy, according to 36Kr, citing an unnamed insider.

Nio, sometimes called the “Tesla of China,” experienced sliding sales earlier this year as Beijing slashes subsidies for electric vehicles. Four Nio vehicles have caught fire this year, prompting the company to recall nearly 5,000 cars to fix a battery short-circuit problem.

The company reported a strong third-quarter increase in deliveries after a wider-than-expected second-quarter loss and a revenue drop. The company has also announced layoffs of about 1,200 of the company’s 9,000 global employees and the spinoff of some noncore businesses.

Contact reporter Denise Jia (huijuanjia@caixin.com)