Geely takes a £6.4 billion stake in Daimler

The Chinese brand that owns Lotus, Polestar and Volvo is now the major shareholder in the Mercedes-Benz parent company

Mercedes badge

Mercedes has a new major shareholder in the shape of Geely, the brand that already owns Volvo and recently brought you performance car spin-off Polestar. Geely, under the guidance of its billionaire owner Li Shufu, has taken a £6.4 billion stake in Daimler, the parent company of Mercedes-Benz, securing 9.69% of the firm.

It’s thought that the move from the Chinese company that also recently purchased Lotus is an attempt to secure technological cooperation from Mercedes, the German marque being seen as a leader in the electric vehicle field under the auspices of its all-electric EQ brand. Geely recently launched both the Polestar electric performance car brand and Lynk & Co - an attempt to sell EVs to younger customers around the world.

With brands including Proton, the London Electric Vehicle Company - maker of the new London Taxi - and flying car firm Terrafugia also on its books, Geely’s latest acquisition has drawn inevitable comparisons with the multi-brand Volkswagen Group. For its part, Daimler has said that it welcomes another major shareholder.

What is Geely?

In 30 years Geely has gone from selling fridges to over 400,000 cars under its own name, paid Ford $1.8 billion to buy Volvo in 2010 and, more recently, acquired a 51 per cent stake in Lotus. Then it separated the Polestar performance arm from Volvo to create a standalone EV focussed performance brand.

The Polestar project will be headed by a 911-sized, 600bhp hybrid GT car and see a range of performance orientated electric performance cars be built in China and sold globally via an online sales portal that will see you only lease a Polestar rather than ever owning it. Away from the electric cars, Geely also holds the key to the future of Lotus and, of course, the next Elise.  

Geely isn’t a name that has appeared in evo, products under its own brand are never likely to. However, the Chinese conglomerate now holds the future of one of the world’s most famous sports car brands in one hand while simultaneously giving the green light to an electric car company that only has performance top of its agenda and has a major stake in the mighty Mercedes-Benz.  

Recommended

Mercedes-AMG teases bespoke concept car
EQXX C
Mercedes

Mercedes-AMG teases bespoke concept car

After a false start with the EQS53, AMG’s real electric ambitions are about to be revealed in the form of a new concept
10 May 2022
Mercedes-AMG EQE range revealed – 53 models to pack up to 677bhp
Mercedes-AMG EQE43 – nose
Mercedes

Mercedes-AMG EQE range revealed – 53 models to pack up to 677bhp

The new-age era of Mercedes-AMG continues to expand with new EQE models to feature 43 and 53 monikers
15 Feb 2022
2022 Mercedes-AMG GT63 S E Performance – prices and specs revealed
GT63 S E Performance
Mercedes

2022 Mercedes-AMG GT63 S E Performance – prices and specs revealed

Local pricing has been confirmed for AMG’s 831bhp four-door, starting at £173,655
1 Feb 2022
Mercedes-AMG CLE63 Cabriolet spied – high performance four-seat cabrio on its way
Mercedes CLE63 Spy – front quarter 1
Mercedes

Mercedes-AMG CLE63 Cabriolet spied – high performance four-seat cabrio on its way

C-class and E-class convertibles to be amalgamated into one CLE model, topped by a hybrid-powered CLE63 S flagship
28 Jan 2022

Most Popular

Used car deals of the week
Main  used car deals
used cars

Used car deals of the week

Here's what caught evo’s fancy this week on the second hand car market
13 May 2022
Rolls-Royce Phantom II debuts – the ultimate luxury experience on four wheels
Rolls-Royce Phantom II – side sports
Rolls-Royce Phantom

Rolls-Royce Phantom II debuts – the ultimate luxury experience on four wheels

There are luxury cars, and then there’s the new Phantom II and its unmatched opulence
12 May 2022
High-riding Lamborghini Huracàn Sterrato spied again – the real sports utility vehicle
Lamborghini Huracan Sterrato prototype – front quarter
Lamborghini Huracan

High-riding Lamborghini Huracàn Sterrato spied again – the real sports utility vehicle

Lamborghini plans to join the Porsche 911 Safari with its own take on the high-riding supercar
12 May 2022