Geely Offers $2.2 Billion Zeekr Take-Private Deal at $25.66/ADS With Share Exchange Option
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Geely Holding Group has submitted a non-binding proposal to take its premium electric vehicle unit, Zeekr, private. The offer was made on May 7, 2025, and proposes to acquire all issued and outstanding Zeekr shares and American Depositary Shares (ADSs) not already owned by Geely.
The proposed purchase price is $25.66 per Zeekr ADS, representing a 13.6% premium over the last trading day's closing price and a 20% premium over the 30-day volume-weighted average price. The total value of the deal is approximately $2.2 billion.
Geely currently holds a majority stake in Zeekr, with its ownership increasing from 62.8% as of November 2024 to 65.7% as of the offer date. The deal is in the early stages and remains subject to negotiation and approval.
If the privatization is completed, Zeekr would be fully merged with Geely Automobile. Shareholders and ADS holders of Zeekr may elect to receive, for each Zeekr share, either $2.566 in cash or 1.23 newly issued Geely Automobile shares, and for each Zeekr ADS, either $25.66 in cash or 12.3 newly issued Geely Automobile shares. Geely intends to finance the transaction through a combination of new share issuance, cash reserves, and potentially debt financing.
Zeekr under pressure. Awesome products. Tough financials.
"In September, Li told a management meeting that the group had entered a new phase defined by “consolidation” and “prudence”, with the goal of navigating “a highly competitive market”.
Geely to take Zeekr private a year
Geely Automobile plans to privatize its unit Zeekr by acquiring all the Chinese NEV maker's issued and outstanding American depositary shares, the Chinese auto maker said today. Geely held 65.7% of Zeekr's total issued and outstanding share capital as of today. Zeekr's stock https://t.co/U4AMPibNjg