Geely's Zeekr aims for big US IPO

Zeekr, one of Chinese automaker Geely's upmarket electric vehicles brands, has confidentially filed for an initial public offering in the United States and aims to raise more than US$1 billion (HK$7.8 billion), sources have said.

In what would be the first major Chinese float in the US in over 18 months, Zeekr is seeking a valuation of more than US$10 billion.

The firm lodged its filings with US regulators last week and is planning to go public in New York as early as the second quarter of 2023. It had also considered Hong Kong as its listing venue but picked New York in the hope of achieving a higher valuation.

Zeekr is a non-wholly-owned subsidiary of Geely Automobile (0175) - which in October said it would spin Zeekr off, but did not identify a listing venue or the likely value of an offering.

The brand was established in April 2021 to tap into increasing Chinese demand for premium EVs.

It launched the 001 crossover - its first and only model - in China later that year and sets its sights on marketing in Europe next year.

The 001 model starts at 299,000 yuan (HK$333,050) - slightly more costly than Tesla's Model Y, which had a recent price cut. Zeekr has not announced pricing for overseas markets.

Meanwhile, Geely said it plans to acquire a 100 percent stake in Xi'an Geely for 382.45 million yuan from a sister company controlled by chairman Li Shufu.