HONG KONG – Zeekr, Chinese automaker Geely’s premium EV brand, will meet global investors to test appetite for a $1 billion U.S initial public offering, said people with direct knowledge of the matter.
It is hoping the share sale will yield a valuation of more than $13 billion, as achieved during a private $750 million funding round in February, two people said.
Hangzhou-based Zeekr will meet investors over two weeks in Hong Kong, Singapore, London, New York, Boston, California and the Middle East, the people said. They said the final deal size would depend on financial market conditions later this year.
The people declined to be identified as the information has not yet been made public. Geely, which handles media queries for Zeekr, declined to comment.
Geely in December said Zeekr had confidentially filed for a U.S. IPO, without detailing size or listing date.
If successful, a $1 billion IPO would be the largest U.S. listing by a Chinese firm since ride-hailing giant Didi raised $4.4 billion in mid 2021.
Valuations of new Chinese share sales in the U.S. have since stalled as Chinese authorities increase oversight of domestic firms wanting to list overseas.
Geely, formally Zhejiang Geely Holding Group GEELY.UL, established Zeekr in April 2021 to tap into increasing Chinese demand for high-end EVs.
Zeekr markets three models with starting prices from 189,800 yuan ($26,042) to 499,000 yuan. It announced its first luxury sports car earlier this month.
The automaker delivered 72,000 vehicles last year and aims to deliver 140,000 this year. It has announced plans to sell vehicles in the Netherlands, Sweden, Israel and Kazakhstan.
CEO Andy An told media on Aug. 22 that Zeekr’s vehicle segment recorded a double-digit gross profit margin in the first half of 2023, more than double its total 2022 figure.