Zeekr, the high-end electric vehicle brand under mainland Chinese automaker Geely, has revived its plans to raise up to $500 million through an IPO in New York, as disclosed by two sources familiar with the matter, according to a report published by Reuters on April 3.
In November 2023, the company had postponed its listing ambitions to secure approximately $500 million owing to disparities in valuation expectations between investors and the company, as reported by Reuters, citing insider information. The decision was also influenced by volatile conditions in the global financial markets at that time.
Presently, Zeekr is engaging in a non-deal roadshow with potential investors in anticipation of the IPO, according to the two aforementioned sources.
In response to inquiries from Reuters, Zeekr confirmed on April 3 that it has submitted a public filing to the SEC and is progressing with preparatory measures. The company had initially filed its prospectus with US regulators back in November 2023.
Data from Dealogic reveals that during the first quarter of 2024, six IPOs of Chinese companies in the US collectively raised $46.9 million, a significant decline from the $428 million raised during the same period last year. This marks the quietest first quarter since 2017, according to the data.
Zeekr's anticipated IPO size of up to $500 million represents a reduction from its earlier target of surpassing $1 billion.
In early January, a spokesperson for Zeekr announced the company's ambition to deliver 230,000 vehicles in 2024, doubling its deliveries from the previous year.
Established in 2021 by Geely, formerly known as Zhejiang Geely Holding Group, Zeekr aims to capitalize on the rising demand for premium EVs in China. In February 2023, the company secured $750 million in funding from investors, including Amnon Shashua, CEO of autonomous driving technology firm Mobileye Global, and mainland Chinese battery giant CATL, valuing the brand at $13 billion.
