Volvo Cars sells 30% stake in Lynk & Co to Zeekr

Volvo Cars is divesting its 30% shareholding in Lynk & Co to Zeekr, a transaction representing a consideration of 1.2 billion NZD.

The consideration will be paid in cash, with 70% of the amount paid at closing and 30% plus interest paid one year after closing. The transaction is expected to close during the first quarter of 2025.

Volvo Cars has been a minority shareholder of Lynk & Co since the company was set up in 2017. 

The divestment is in connection with a new development phase for Lynk & Co going forward, which includes a new ownership structure for the company. 

Volvo Cars will continue to focus on operational collaborations with Lynk & Co in selected markets with a strategic benefit for both companies.

The transaction involves Volvo Cars (China) Investment Co., Ltd, an indirect subsidiary of Volvo Car AB, selling its share in Lynk & Co Automotive Technology Co., Ltd to Zhejiang Zeekr Intelligent Technology Co., Ltd, an indirect subsidiary of Zeekr Intelligent Technology Holding Limited.

The transaction is subject to approval by an Extraordinary General Meeting of Volvo Cars’ Shareholders, expected to be held in the first quarter of 2025, as well as other regulatory approvals.