Geely is reportedly working to merge the Lynk & Co and Zeekr manufacturers for a extra targeted strategy in direction of the brand new power automobile market, in line with sources cited by Financial Every day.
The deliberate consolidation goals to cut back inner competitors between the group’s manufacturers and cannibalisation of gross sales, and in the end enhance Geely’s competitiveness.
This consolidation will see Zeekr buy the 30% controlling stake in Lynk & Co held by Volvo and a 20% stake from Geely Holding, in line with sources cited by Reuters. This might be adopted by a capital injection for Zeekr to extend its stake to 51%, whereas Geely Vehicle Holdings will maintain the remaining share.
In accordance with sources cited by Reuters, Zeekr has been valued at round US$2.5 billion (RM11.2 billion), and the deal is predicted to be full by June subsequent 12 months. Zeekr can also be anticipated to steer improvement for EV and linked automobile expertise, and to share its analysis with group manufacturers Lynk & Co and Polestar, in line with one other Reuters supply.
The newest mannequin from Lynk & Co is the Z20, which is constructed on the Geely Sustainable Expertise Structure (SEA) platform that additionally underpins the likes of the Zeekr X, in addition to merchandise from different manufacturers inside the group such because the Volvo EX30 and the sensible #1.
In October 2024, the Geely group bought 226,686 autos, or a 28% acquire from this month final 12 months; gross sales of battery electrical autos gained by 132%, to 78,858 autos, reported Automotive Information China. Of the group’s whole, Lynk & Co and Zeekr mixed accounted for nearly 30% of whole Geely gross sales within the first three quarters of 2024.
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