BY Michael Gauthier | Posted on
Investors are going wild for electric vehicle stocks and it appears Geely is considering cashing in.
According Bloomberg, the automaker has discussed taking Volvo public in an IPO that could value the company at around $20 (£14.5 / €17) billion.
Talks are reportedly at an early stage, but a spokesperson seemed to have confirmed the discussions as they told the publication “Volvo Cars will be reviewing various options, which could include plans for a potential IPO and stock market listing.” However, they added no decisions have been made and “appropriate regulatory disclosures will be made in due course, should they be required.”
Volvo Cars USA chief executive Anders Gustafsson quickly responded to these concerns, insisting that dealerships will continue to sell the vehicles and maintain relationships with customers.
“We have been very clear with that,” he said. “We will, of course, push things a little bit and see if we can develop this industry, especially related to digitalization.”
Even so, dealership owners like Adam Simms believe the dealership experience extends far beyond simply selling vehicles to consumers: “We have to engage with the prospect not just on the product, but on their passion about what they want to drive. I am not sure a website emotionally engages people like humans do.”