Sweden's Volvo Cars and its Chinese owner Geely said Monday they are considering merging into a single group to better share technology and financial resources while preserving their separate brands.

The merged firm "would have the scale, knowledge and resources to be a leader in the ongoing transformation of the automotive industry," they said in a statement.

"The combination would preserve the distinct identity of each of the brands Volvo, Geely, Lynk & Co and Polestar," they added.

Geely bought Volvo in 2010 from Ford which hadn't been able to turn around the Swedish automaker. But under the Chinese firm Volvo has rebounded and smashed its sales records.

Volvo sold more than 705,000 vehicles in 2019, besting the record it set in 2018 by 10 percent, and the automaker expects continued growth this year.

The statement said the firms would create a joint working group to prepare a proposal for the boards of both firms.

"A combined company would have access to the global capital market through Hong Kong and with the intention to subsequently list in Stockholm as well," it added.

Volvo put off a share listing in 2018 due to tensions in global markets.

hdy/rl/wai

GEELY AUTOMOBILE HOLDINGS

FORD MOTOR

Related Links
Car Technology at SpaceMart.com

Tweet

Thanks for being here; We need your help. The SpaceDaily news network continues to grow but revenues have never been harder to maintain. With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords. Our news coverage takes time and effort to publish 365 days a year. If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceDaily Contributor $5 Billed Once credit card or paypal		SpaceDaily Monthly Supporter $5 Billed Monthly paypal only

Toyota extends China plant closure over virus
Tokyo (AFP) Feb 7, 2020
Japanese auto giant Toyota said Friday it would keep its Chinese factories shut until February 16, extending its suspension by a week amid the growing coronavirus crisis. "After considering various factors including guidelines from local and regional governments... we've decided to continue our suspension of production at all Toyota plants in China until February 16," spokesman Aaron Fowles told AFP. The Japanese firm had previously said the plants would be mothballed until February 9. The v ... read more