[wheelguy]

FRANKFURT - Volvo Cars will merge its engine development and manufacturing assets with those of parent Geely, creating a division to supply in-house brands Lotus, LEVC, Lynk and Proton, and also potential rivals with next-generation combustion and hybrid engines.

It marks the latest example of consolidation in the engine manufacturing sector as tighter emissions rules hike development costs at a time when the expansion of electric cars calls into question the long-term demand for gas guzzlers.

That will allow the Gothenburg, Sweden-based brand to more sharply focus its resources on building and developing a range of entirely electrified premium cars.

More at: https://auto.economictimes.indiatime...tions/71476466

[wheelguy]

Now the merger goes beyond engine development, they are now considering complete merger. But despite the merger, each of them want to keep their brand identies intact and separate.

COPENHAGEN: Swedish automaker Volvo Cars and its owner Chinese automaker Geely Holding said Monday they are considering combining their businesses to create what they called "a strong global group" that "would accelerate financial and technological synergies between the two companies."

A combined company would preserve the distinct identity of each of the brands Volvo, Geely, Lynk & Co and Polestar, Volvo's electric brand.

https://auto.economictimes.indiatime...-deal/74066521

[volkman10]

Volvo Cars to buy parent Geely Holding's stake in China JVs.

Volvo will have full ownership of its manufacturing plants in Chengdu and Daqing, its national sales company in China and its R&D facility in Shanghai.

With this agreement, Volvo Cars will become the first major non-Chinese automaker with full control over its Chinese operations

Link

[Vishal.R]

Not able to understand other than accounting, what else would change as Geely is still parent of Volvo. Isn't it a way to divert some cash from Volvo to Geely before Volvo becomes public?

[volkman10]

Geely acquires 7.6% stake in Aston Martin.

Chinese firm's stake complete's British firm's transformative £654 million funding round.

Geely, which owns LEVC, Lotus, Volvo, Polestar, Lynk&Co, Zeekr and half of Smart, was rumoured to be considering a stake in Aston as far back as 2020, before Lawrence Stroll's Yewtree consortium took control of the firm.

It has yet to be revealed whether Geely's involvement in Aston Martin could extend beyond financial backing. Aston will launch its first electric car in 2025, but has not yet confirmed whether Mercedes will supply the basic architecture that underpins it, as it does with powertrains and infotainment for the firm's current combustion models. Though the two firms do have an agreement in place for the supply of electric drivetrains.

Link