Why Geely Takes Zeekr Private: What Investors Need to Know
China's Geely takes Zeekr private in a bold move that’s stirring global interest across the electric vehicle and stock market sectors. Just over a year after Zeekr went public on the New York Stock Exchange, Geely is now reversing course amid political and regulatory uncertainty. One key reason? Mounting pressure from the U.S. government, specifically President Donald Trump’s threats to delist Chinese companies from American stock exchanges. This shift raises major questions: What does it mean for Zeekr shareholders? How will it affect partnerships like Waymo’s robotaxi rollout? And what should investors expect next? In this blog, we’ll break it down with clarity, context, and insight—so you can understand how this headline story could shape the future of EV investing and global mobility.
Image Credits:Zeekr
Geely Takes Zeekr Private: A Strategic Response to U.S. Pressure
Geely’s decision to take Zeekr private comes on the heels of escalating trade and tech tensions between China and the United States. After launching a successful IPO in New York just last year, Zeekr was seen as a fast-growing luxury EV brand with international ambitions. However, geopolitical pressures—particularly threats from President Trump to delist Chinese firms—forced Geely to pivot. The privatization deal allows Zeekr shareholders to receive either $2.69 in cash per share or 1.23 newly issued Geely shares. Holders of Zeekr ADSs, which represent 10 shares each, are entitled to either $26.87 or 12.3 Geely shares. Investors can choose between the two options—except certain retail investors in Hong Kong, who will be defaulted to the cash option. This move helps Geely regain full control over Zeekr and reduce regulatory exposure in U.S. markets.
What the Privatization Means for Zeekr’s EV and Robotaxi Ambitions
Zeekr’s privatization is not just a financial maneuver—it has broader implications for its global partnerships, especially with Waymo. Zeekr had secured a significant contract to build custom electric vehicles for Waymo’s U.S. robotaxi fleet, with launches planned for the Bay Area in 2025. Some of these vehicles have already been spotted testing on public roads in San Francisco. While the merger is unlikely to derail the Waymo deal in the short term, it could complicate logistics, intellectual property sharing, or regulatory compliance depending on how U.S.-China relations evolve. Still, Geely may view privatizing Zeekr as a way to operate with more flexibility, shield sensitive business strategies from market scrutiny, and align its EV roadmap with China’s national interests.
What Investors Should Watch as Geely Takes Zeekr Private
For investors, the choice between cash or stock in Geely's buyout offer will depend on their risk appetite and belief in the parent company’s future. The offering price is slightly higher than what was proposed earlier in May, signaling Geely’s urgency to close the deal before any further regulatory disruptions. With the merger expected to complete in Q4 2025, the window for strategic decisions is narrowing. Long-term investors who believe in Geely’s vertical integration and dominance in the EV space might opt for Geely shares, banking on future growth in China’s electric vehicle market. On the other hand, some investors may prefer the security of cash amid ongoing U.S.-China tensions and uncertain market conditions. Either way, the privatization is a clear signal that geopolitical forces are now reshaping how Chinese tech and auto firms operate on the world stage.
Why Geely Taking Zeekr Private Is More Than a Financial Move
In 2025, when politics increasingly dictate the direction of global tech and EV investments, the fact that Geely takes Zeekr private speaks volumes. It's not just about shareholder payouts or regulatory workarounds—it’s a strategic reset. Geely is tightening its grip on one of the most promising electric vehicle startups in China, shielding it from U.S. scrutiny while doubling down on long-term ambitions. For global investors and EV watchers alike, this moment is a litmus test: how will China’s biggest auto players adapt to rising walls in international finance and technology? As the world keeps an eye on Waymo’s U.S. robotaxis and Zeekr’s next chapter, one thing is clear—this is far from the end of the story.
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