Chinese-owned Volvo navigating toward IPO on Stockholm stock market

Chinese-owned Volvo navigating toward IPO on Stockholm stock market
Chinese owned Volvo navigating toward IPO on Stockholm stock market
Binance


Volvo Cars, the Swedish automobile maker owned by Zhejiang Geely Holding Group Co.
175,
-3.36%
of China, is completing plans for an initial public offering and is set to announce details of the listing as early as Monday, in a deal that could value the car maker at as much as $25 billion, according to people familiar with the matter. A listing, if it goes ahead, would represent one of the car industry’s most dramatic turnarounds. Ford Motor Co. 
F,
,
weakened by the global financial crisis, sold the Swedish company to Geely for $1.8 billion in 2010.

Volvo has long capitalized on a brand recognized for safety, but at the time of its sale, its product lineup had failed to excite car buyers. Geely bankrolled Volvo’s recovery over the next decade, opening China as a market for the brand and providing financing to help the company revamp its model offerings. Today, Volvo is profitable, with a road map for electric-model rollouts that is ahead of some competitors. Its brand is back in fashion in the U.S. and elsewhere. It now competes with German premium brands, including BMW maker Bayerische Motoren Werke AG 
BMW,
+1.29%,
 Volkswagen AG’s 
VOW,
-0.22%

VWAPY,

VWAGY,
+0.16%
Audi brand and Daimler AG’s 
DAI,
+0.85%

Binance

DMLRY,
-0.53%
Mercedes-Benz. For the first half of this year, Volvo reported a 41% increase in sales over the same period last year, to 380,757 vehicles. The company’s sales in the U.S. rose 47% to 63,754 vehicles. An expanded version of this report appears at WSJ.com. Trending at WSJ.com: Who will win the space tourism race, Virgin, Blue Origin or SpaceX? Tom Brady on his Instagram addiction



Source link

Be the first to comment

Leave a Reply

Your email address will not be published.


*