Volvo Cars intends to launch an initial offering( IPO) following its accomplishment of record expansion in legion auctions as well as in revenue for the first half of 2021, the company has announced.

The proposed IPO is expected to consist of brand-new shares being issued by Volvo in order to raise up to 25 billion krona( RM11. 9 billion ), as well as a partial sale of shares by Geely Sweden, the company’s central shareholder.

Both the board of directors at Volvo as well as Geely Sweden have agreed to apply for listing of the company’s shares on Nasdaq Stockholm, thus gaining access to Swedish and international capital markets.

” We have supported the metamorphosi and proliferation of this iconic Swedish brand during a period of unprecedented altered in our manufacture. We will continue to support Volvo Cars as a majority shareholder in this ongoing success story ,” said chairman of Volvo Cars Eric Li, who is also founder and chairman of Geely Holding.

For its mid-decade objectives, the Swedish carmaker is aiming for an annual sales volume of 1.2 million automobiles, an operating margin of between 8% and 10%, a 40% reduction of CO2 radiations per auto between 2018 and 2025, to have half of its sales volume coming from perfectly electric cars, have 50% of application proliferation conducted in-house, and to have 50% of auctions done online, it said.

Volvo recorded its best-ever first-half sales ever this year, reporting a magnitude of 380,757 cars globally for the first six months of 2021. This represented a 41% amplification over the same period in 2020. Meanwhile, EV brand Polestar has aimed to double its global proximity from nine to 18 markets by the end of this year, including five new markets in the Asian and pacific region.

Polestar likewise announced towards the end of last month that it will be publicly listed in a deal with Gores Guggenheim, who will provide Polestar with cash advances of more than US$ 1 billion( RM4. 18 billion ). This is comprised of US $800 million( RM3. 35 billion) in money, and US $250 million( RM1. 05 billion) in private investment in public equity( PIPE) starts.

Forthcoming modelings from Polestar include the Polestar 3 which is due to debut next year, followed by the Polestar 4 that is a coupe-roofed crossover and the Polestar 5, a productionised version of the Precept concept car five-door fastback.

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