Beijing, 5 April 2024 (TDI): China’s Zeekr, the premium electric vehicle (EV) brand under Geely, has revived its plans to raise $500 million in a New York IPO, according to sources familiar with the matter.
The company had initially paused its listing plans in November. They cited valuation discrepancies with investors and market volatility. However, Zeekr has now restarted preparations for the IPO. He is engaging in a non-deal roadshow with potential investors.
According to the article, the sale was halted. It was because of the unstable international financial market conditions at the time.
IPO Signals Confidence amid EV Market Surge
According to the reports, Zeekr before the IPO, is now conducting a non-deal roadshow with potential investors. The sources, discussing sensitive material, could not be identified.
The resurgence of Zeekr’s IPO plans comes amidst a slowdown in Chinese company listings in the US. It has only six IPOs, raising $46.9 million in the first quarter of 2024, compared to $428 million in the same period last year.
Despite lowering its IPO target from over $1 billion to $500 million, Zeekr remains optimistic about its growth prospects. The company aims to double its car deliveries in 2024. It has a target of 230,000 units, following strong demand for premium EVs in China.
In response to media inquiries, Zeekr released a statement on Wednesday saying, “The company has made a public filing with the SEC. It is proceeding with the preparatory work.” In November, the business submitted its prospectus to US regulators.
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Zeekr, established in 2021 by Geely to cater to the rising demand for high-end electric vehicles in China, previously raised $750 million from investors including Mobileye Global’s CEO Amnon Shashua and Chinese battery giant CATL, valuing the brand at $13 billion.
The resurgence of Zeekr’s IPO plans reflects its confidence in the EV market’s growth potential and signals a strategic move to capitalize on the increasing demand for premium electric vehicles globally.
