Zeekr verabschiedet sich von der New Yorker Börse und kehrt zu Geely zurück: Die Integration der neuen Energiefahrzeuge tritt in die kritische Phase ein.
On July 15th, Geely Auto and ZEEKR Intelligent Technology officially signed a merger agreement. ZEEKR delisted from the New York Stock Exchange and became a wholly-owned subsidiary of Geely Auto. This nearly two-year capital integration is not only the full implementation of the strategy in Geely Holding Group's "Taizhou Declaration," but also means that the in-depth integration of China's new energy vehicle industry has entered a substantial stage.
As the new energy vehicle market shifts from "wild growth" to "stock competition," resource restructuring and strategic collaboration among enterprises have become the key to breaking the stalemate. Through equity restructuring, organizational reorganization, and resource collaboration, Geely aims to build more efficient competitiveness in three dimensions: technology, brand, and globalization, presenting itself as "One Geely."
The "Two-Horizontal" Layout Breaks the Brand Overlap Dilemma
The merger between Geely and ZEEKR is a systematic project involving equity structure adjustment and governance system optimization. Earlier this year, ZEEKR and Lynk & Co. merged first to establish ZEEKR Technology Co., Ltd., and this time, it is the second merger between Geely and ZEEKR Technology.
Before the merger, Geely Auto already held 65.7% of ZEEKR's shares. This time, it achieved 100% control through a combination of cash and equity swap. The transaction consideration is $2.687 in cash per share plus 1.23 new Geely shares per share, with a total valuation of approximately 17.2 billion yuan. This price represents a premium of about 18.9% over the closing price of ZEEKR on the last trading day of the non-binding offer letter and a 25.6% premium over the 30 - trading - day volume - weighted average price as of the last trading day of the non-binding offer letter.
Geely Group stated that this design balances cash flow pressure and shareholder rights. The cash part guarantees the immediate returns of ZEEKR's original shareholders, while the equity swap strengthens Geely Auto's equity concentration, promotes the direct inclusion of ZEEKR's financial data into the listed company's statements, further increases the proportion of new energy business in the overall revenue, and injects new impetus into the valuation reconstruction of Geely's Hong Kong - listed shares.
After the merger, Geely's passenger vehicle segment quickly completed the reconstruction of the "Two - Horizontal" structure. On one hand, there is the "Geely Auto Group," which integrates brands such as Geely, Galaxy, and Radar, focusing on the mainstream market priced between 100,000 and 200,000 yuan. On the other hand, there is the "ZEEKR Technology Group," which governs ZEEKR and Lynk & Co., targeting the high - end luxury new energy market above 300,000 yuan.
This "Two - Horizontal" layout forms a complementary relationship through brand positioning. ZEEKR, centered around the SEA vast architecture, focuses on the high - end intelligent pure - electric market. Lynk & Co., relying on the CMA architecture and hybrid technology, covers the young and personalized needs above 200,000 yuan. Geely Galaxy consolidates its cost - performance advantage in the mainstream market with Thor hybrid and intelligent cockpit technologies. Together, they form a full - dimensional product matrix covering the price range from 100,000 to 800,000 yuan, solving the problems of overlapping positioning and internal resource consumption caused by the independent operation of brands such as ZEEKR, Lynk & Co., and Geometry in the past.
At the organizational level, Geely simultaneously promotes the centralized management of technical resources and the supply chain. The group established a unified technology research institute to coordinate the R & D in core fields such as intelligent driving, in - vehicle systems, and three - electric technologies, avoiding duplicate investment by each brand. At the same time, it established a supply chain company to integrate procurement needs for batteries, chips, raw materials, etc., and reduce costs through large - scale bargaining.
Data shows that after the merger of ZEEKR and Lynk & Co., R & D costs were reduced by 10% - 20%, and supply chain costs decreased by 5% - 8%. This synergy was directly translated into rapid product iteration in the first half of 2025. For example, the R & D cycle of Geely Galaxy L7, developed based on the SEA architecture, was shortened by 30% compared with the past, and the cost was reduced by 15%. It exceeded 20,000 in sales volume in the first month of its launch.
The Strategic Transformation Driven by the "Taizhou Declaration"
The "Taizhou Declaration" released in September 2024 is the core of Geely's current integration. This document, with the keywords of "strategic focus, integration, and collaboration," points directly to the survival rules of Chinese automakers in the second half of the new energy era. As the industry shifts from "policy - driven" to "market - driven" and from "incremental competition" to "stock competition," enterprises must bid farewell to the extensive model of "having more children to fight" and turn to refined competition of "precise efforts and ecological win - win."
The first core of the "Taizhou Declaration" is "strategic focus" - bidding farewell to the brand strategy of "spreading out in all directions" in the past decade, concentrating resources on the development of intelligent electric technologies, and returning to "One Geely." In the past, Geely occupied niche markets by incubating multiple sub - brands such as ZEEKR, Lynk & Co., Geometry, and Jikr, but it also led to the dispersion of resources. ZEEKR focused on the high - end pure - electric market, Lynk & Co. delved into the young hybrid market, Geometry targeted the 100,000 - yuan market, and Jikr was deployed in the MPV field. Although it seemed comprehensive, there was intense internal competition.
In November 2024, ZEEKR completed the acquisition of 51% of Lynk & Co.'s equity, ending the parallel competition between the two high - end brands. In January 2025, brands such as Jikr and Radar were incorporated into Geely Galaxy, forming a full - category matrix of "sedan - SUV - MPV - pickup truck off - road." This "shrinking focus" has achieved initial results. In the first half of 2025, Geely's new energy penetration rate increased from 52% in 2024 to 73%, and sales volume increased by 73% year - on - year, exceeding the industry average growth rate.
If "strategic focus" solves the problem of resource dispersion, "technical collaboration" builds a deeper competitive barrier. Technologies such as ZEEKR's SEA vast architecture, Kirin battery, and intelligent cockpit system are no longer limited to a single brand but have become a shared resource pool for the entire Geely system.
Taking the SEA architecture as an example, this platform was originally exclusive to ZEEKR. After the integration, models of the Geely Galaxy series developed based on the SEA architecture can directly reuse the three - electric system, chassis technology, and electronic and electrical architecture. The R & D cycle is shortened by 30%, and the cost is reduced by 15%. At the supply chain level, Geely unified its battery businesses such as Jinzhuan battery and Shendun short - blade battery under the brand of "Shendun Jinzhuan Battery," reduced raw material costs through large - scale procurement, and deepened cooperation with CATL to strengthen its bargaining power in the upstream.
The construction of this technical ecosystem enabled Geely to launch the "Thousand - Mile Vast" full - domain intelligent driving solution in the first half of 2025, covering models from 100,000 to 800,000 yuan, achieving "technology feeding back all brands."
"Global breakthrough" is the third pillar of the "Taizhou Declaration." ZEEKR's delisting and integration imply Geely's adjustment of its global strategy. Previously, ZEEKR faced the dual pressures of regulatory risks of Chinese concept stocks and low valuation in the US market. After delisting, its resources can be more flexibly invested in overseas markets such as Europe and the Middle East.
After the merger, Geely plans to combine ZEEKR's overseas channels with local manufacturing capabilities, aiming to enter 50 countries in 2025 and establish a local production base in Europe. At the same time, by integrating the overseas resources of brands such as Volvo and Polestar, Geely tries to build a closed - loop of "R & D in China, global manufacturing, and local service." The pricing strategy of ZEEKR 009 in the European market will be optimized by Volvo's local team. The channel network of Lynk & Co. in the Middle East will be shared with Geely Galaxy's new energy models. This global layout not only increases Geely's overseas market share but also gradually gains the right to speak in the global new energy industry chain through technology export and brand cooperation.
The Costs and Games of Integration
The success or failure of enterprise integration ultimately depends on whether it can be transformed into sustainable competitiveness. Judging from the market performance in the first half of the year, the merger of Geely and ZEEKR has shown positive signals in terms of innovation efficiency, profitability, and organizational resilience, but the challenges in the deep - water area cannot be ignored.
Firstly, there is the difficult problem of balancing brand positioning. ZEEKR's high - end image may be diluted due to the sinking of technology to Geely Galaxy. For example, when Galaxy L7 is equipped with the same three - electric system as ZEEKR 001, some consumers may question the rationality of ZEEKR's "high - end premium."
Secondly, there are obstacles to the integration of organizational culture. There are differences in management concepts between the ZEEKR team, which has been operating independently for many years, and Geely's traditional system. ZEEKR emphasizes the "Internet - style" rapid iteration, while Geely pays more attention to the "manufacturing - style" stable process. This difference has led to disagreements between the two sides in product definition and supply chain decision - making.
Finally, there is the sustainability of profitability under the pressure of price war. In the first half of 2025, the average price of new energy vehicles has dropped by 12%. Geely needs to find a new balance between cost control and product strength improvement. If it overly relies on the scale effect to compress costs, it may weaken R & D investment in technology. If it overly pursues high - endization, it may lose market share in the mainstream market.
Through capital integration, technical collaboration, and global layout, Geely aims to build a new energy ecosystem driven by technology and featuring ecological win - win. As Li Shufu said, "Having no retreat is the way to victory." In the second half of the new energy vehicle market, whether Geely can transform the strategic potential of "One Geely" into market momentum and find the optimal solution in brand positioning balance, organizational culture integration, and profit model innovation will be the most crucial issues.
Image source: Geely Auto
This article is from the WeChat official account "Automotive Market Insights", author: Yang Shuo. Republished by 36Kr with permission.