Geely Automobile (0175) has raised its offer to take Geely's premium electric car unit Zeekr private to US$2.687 (HK$20.96) per share, or US$26.87 per American depositary share, about 3.4 percent below Zeekr’s last close.
If all eligible Zeekr shareholders opt to receive cash, the total consideration would amount to about US$2.4 billion (HK$18.72 billion), and will be funded through internal resources or debt financing.
Alternatively, if shareholders choose to receive consideration shares, Geely will issue up to 1.098 billion shares, representing approximately 9.8 percent of the enlarged issued share capital upon completion of the privatization.
The revised bid, disclosed in a filing to the Hong Kong stock exchange on Tuesday, marks an increase from the US$2.566 per share offered in May and is part of billionaire Li Shufu’s broader efforts to consolidate his automotive empire.
The deal would give Geely Automobile full ownership of premium electric carmaker Zeekr Intelligent Technology, which listed in New York just over a year ago in one of the largest US IPOs by a Chinese firm in recent years.
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