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Zeekr’s privatization will save “several billion RMB” in R&D, says Geely chief exec
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TechNode
China’s Geely can save “several billion yuan” each year by taking its New York-listed subsidiary Zeekr private and “fully” integrating the luxury electric vehicle unit with its Hong Kong-listed mainstream car business, Daniel Li, chief executive of Geely Holding Group said on Thursday (our translation).
Only then will we have a chance to succeed in the fiercely competitive market,” said Gui Shengyue, CEO of Hong Kong-listed Geely Auto.
This was followed by the merger between Zeekr and Lynk & Co revealed in November and completed early this year.
Geely Auto on Thursday posted impressive first-quarter numbers, with sales exceeding 703,800 units, representing a 48% growth from a year earlier, and net profit up 264% to nearly RMB 5.7 billion ($788 million).
Once Geely Auto completes Zeekr’s privatization, it will become the flagship public-listed entity of Geely Holding Group, which includes all of its wholly-owned car brands.
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