Geely buys 10% stake in Daimler

With an investment of over 9 billion dollars, Geely is now the biggest stakeholder in Mercedes-Benz's parent company, Daimler. 

Geely, the Chinese company that owns Volvo among others, has bought just under 10 per cent stakes in Daimler – the parent company of Mercedes-Benz. The Chinese firm has reportedly bought the stakes for a whopping 9 billion dollars – meaning it’s now the biggest shareholder in the German group.

With its 9.69 per cent stake in Daimler, Geely is looking for a technological partnership with the Daimler group so as to push the development of electric vehicles. Interestingly, Daimler has announced investing 1.9 billion dollars into a partnership with another Chinese automaker, BAIC. As per the company, the funds will go into upgrading a BAIC plant in China to build Mercedes vehicles, including electric vehicles.

Geely, on the other hand, has a lot going for it and is one of the fastest growing electric car makers not just in its home market but across the world. At present, Geely owns Lotus, Polestar, London Electric Vehicle Company and Lynk & Co in addition to the Swedish brand, Volvo. Not only that,  Geely recently also bought 8.2 per cent stake in the commercial vehicle division of Volvo for around 3.3 billion dollars.