Has Geely lower its holding in Daimler? The Chinese language carmaker says ‘no’
“As a long run investor, Zhejiang Geely Holding has not offered any shares. The Daimler shareholding stays unchanged,” the corporate mentioned in an announcement on Friday.
The assertion got here after Bloomberg mentioned Geely, managed by Chinese language billionaire Li Shufu, had offered a 5.Four per cent stake of the German firm.
It spent about US$9 billion to start with of 2018 for the Daimler stake, in a deal underscoring Li’s ambitions to show Geely into a world carmaking powerhouse.
Shares of Daimler have dropped by a few third since Geely’s buy of the 9.7 per cent stake, buying and selling at greater than €48 (US$55.2) on Friday.
Li, the founder and chairman of the Hangzhou-based firm, mentioned in his New 12 months tackle posted on social media that 2019 could be pivotal for Geely as it would face a dismal interval due to weak market situations.
Geely Vehicle Holdings, the Hong Kong-listed unit of the Geely empire, mentioned in a inventory change submitting on Monday that it missed its 2018 gross sales goal and anticipated a 12 months of flat efficiency in 2019.
Its shares have misplaced 19.6 per cent this 12 months, closing at HK$11.10 (US$1.42) on Friday.
Chinese language carmaker Geely’s shares plunge 11.6pc after annual gross sales fall in need of goal, warns of dismal 12 months forward
Chinese language carmakers bore the brunt of China’s financial slowdown and the tit-for-tat US-China commerce warfare that dampened customers’ shopping for curiosity in passenger automobiles final 12 months.
Passenger automobile gross sales within the mainland, the world’s largest auto market, dropped for the primary time since 1992, in line with the China Passenger Automobile Affiliation.
The mainland auto sector offered 22.35 million models in 2018, down 5.eight per cent from a 12 months earlier.
The Bloomberg report was printed after Morgan Stanley disclosed in a submitting on Thursday that it had elevated its Daimler stake to five.39 per cent from 0.34 per cent on January 4.
Bloomberg mentioned Morgan Stanley held the shares on behalf of others.