Volvo plans $2.9B IPO to fund electric vehicle ambitions
Swedish automaker Volvo said Monday it plans to raise at least $2.9 billion by selling shares to fund its electric vehicle transformation strategy.
Volvo Cars and its parent company, Chinese carmaker Geely, have applied to hold an initial public offering on the Nasdaq Stockholm, with shares expected to start trading before the end of the year.
The money raised from the IPO will help fund Volvo’s lofty ambitions. The company aims to nearly double sales by 2025 to 1.2 million vehicles, half of which will be battery electric cars, and wants its entire lineup to be all electric by 2030.
Volvo’s plans also include selling more directly to customers and it aims to have half of all sales come from online channels by mid-decade.