Lotus Technology, a new unit of China's Geely set up to develop the technology to power Lotus sports cars, is planning to raise $400 million to $500 million before the end of this year, its chief financial officer told Reuters. Lotus Technology, part of Group Lotus which is in turn owned jointly by the Chinese automaker and Malaysia's Etika Automotive, intends to kick off the funding round before Christmas, Alexious Lee said in an interview. That will give Lotus Technology a post-money valuation - value of a company after a round of financing from external investors - of $5 billion to $6 billion, Lee added.
STOCKHOLM (Reuters) -Volvo Cars shares surged 22% on their Stockholm market debut on Friday after wrapping up Europe's biggest IPO of the year so far, in a boost for new issues markets and carmakers' vision of an electric future. But the successful deal and strong market reaction - which propels the valuation to about $22 billion - is a lift for a European automotive industry that has embarked on a challenging transition towards electric vehicles (EVs). Volvo Cars Chief Executive Håkan Samuelsson said the listing showed a recognition of its transition plans, adding it would be key for Volvo to demonstrate it is on track to be the "fastest transformer".
Geely-owned automaker Volvo Cars said its initial public offering (IPO) was substantially oversubscribed as it geared up for its bourse debut in Stockholm later on Friday. Gothenburg-based Volvo Cars, owned by Geely Holding which will retain the vast majority of shares in the company, said the IPO would see it add more than two hundred thousand new shareholders. The IPO had already been priced at 53 Swedish crowns ($6.22) per share and the sale of nearly 380 million new shares will provide Volvo with gross proceeds of about 20 billion crowns to help fund its shift to an electric-only model line-up.