Photo by Andrew Hawkins / The Verge
Volvo, the Swedish luxury car maker owned by China’s Geely, announced its plan for an initial public offering as it seeks to raise more cash to accelerate its transition to a fully electric car company.
The announcement follows the news last week that Polestar, the electric car company that is a joint venture between Volvo and Geely, would be going public by merging with a special purpose acquisition company, or SPAC. That deal values Polestar at roughly $20 billion, despite selling only two models — a hybrid luxury coupe and an all-electric fastback sedan. Volvo is choosing a more traditional route by proceeding with an IPO in Stockholm that could value the company at upwards of $25 billion.