Geely Automobile Holdings Limited (stock code: 0175.HK) announced plans to acquire all the issued shares of ZEEKR Intelligent Technology Co., Ltd. to privatize it. Geely currently holds approximately 65.7% of ZEEKR’s shares. If the transaction is completed, ZEEKR will be fully merged with Geely.
According to the announcement, on May 7, Geely submitted a non-binding offer letter to ZEEKR, proposing to privatize the company. It suggested acquiring all of ZEEKR’s outstanding shares at a price of USD 2.57 per share or USD 25.66 per American Depositary Share.
It is worth noting that last May 10, ZEEKR had successfully gone public on the New York Stock Exchange at a price of USD 21 per share.
On February 24 of this year, ZEEKR completed the acquisition of Lynk & Co., taking a 51% stake and turning it into a non-wholly-owned subsidiary. This move established the ZEEKR Technology Group.
Now, no one expected that less than a year after its listing, ZEEKR would be delisting from the US stock market.
Behind this significant move is the strategic guidance of the “Taizhou Declaration.”
The statement from Geely Holding Group Chairman Li Shufu is quite thought-provoking. He cited the “Taizhou Declaration,” emphasizing the integration of technology and the enhancement of profitability, and the need to return to a unified Geely. However, he also mentioned that Geely will continue to maintain close communication and cooperation with the US and international capital markets.
Currently, more details are still unclear. It is worth noting that Geely will hold its 2025 Q1 results conference on May 15, where further explanations on the latest business developments will be provided. It will be necessary to wait for more updates.
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