Volvo Cars confirms that it will undergo an initial public offering as the company returns to the Nasdaq Stockholm Stock Exchange after 2 decades of being owned by other automakers.
China’s Zhejiang Geely Holding Group Co will offer shares at 53 to 68 Swedish kronor each ($6.30 to $8.07) in a bid to raise around $2.9B. The IPO would value the Swedish car manufacturer at up to $23B.
Geely purchased Volvo from Ford Motor Co. (F -1.1%) in 2010. Ford had owned the company since 1999. Geely will remain Volvo's primary owner following the listing.
Volvo will use the funds to finance the construction of a European battery plant alongside its plan to sell only electric vehicles by 2030. Shares of the company will begin trading Oct. 28.
Toyota listed on the New York Stock Exchange with the initials TM (NYSE:TM) will invest approximately $3.4B in automotive batteries in the United States through 2030.
The company looks to develop and localize automotive battery production, including those for battery electric vehicles, and is part of the global total of approx. $13.5B set aside for investment in battery development and production announced last month.
Toyota Motor North America also announced to establish a new company and build an automotive battery plant together with Toyota Tsusho in the U.S. with an aim start production in 2025, the project includes an investment of approximately $1.29B until 2031 and the creation of 1,750 new American jobs.
"Toyota's commitment to electrification is about achieving long-term sustainability for the environment, American jobs and consumers," said Ted Ogawa, Chief Executive Officer, Toyota Motor North America. "This investment will help usher in more affordable electrified vehicles for U.S. consumers, significantly reduce carbon emissions, and importantly, create even more American jobs tied to the future of mobility."
The Tesla Model 3 is the most popular electric car in both the US and Europe, but in the Old World Volkswagen is treading on Tesla's heels with its relatively affordable ID.3 and ID.4 models. According to the German edition, in eight months of this year in Europe, they were sold more than Tesla Model 3.
And do not be confused by the fact that two Volkswagen models oppose the same Tesla model - ID.3 and ID.4 are built on the same platform. A total of 76,415 units were sold (about 44,000 ID.3 and about 33,000 ID.4), during the same time 75,000 new Tesla Model 3s were registered. It can be argued that other Tesla models are also sold in Western Europe - and this is true, but neither the Model Y, nor even the Model S and Model X made it into the top 20 most popular electric vehicles in Western Europe this year. In the meantime, Volkswagen has sold around 24,000 more eUP compact electric vehicles. So the leadership of the German concern in the segment is evident.
Among all Western European countries, most of the sales of electric vehicles are in Germany: in the eight months of this year, 204 thousand electric vehicles were sold in this country alone.