ZEEKR Intelligent Technology Holding Limited (ZK) entered a merger agreement on July 15, 2025, to be taken private by Geely Automobile Holdings Limited in a deal valued at $8.09 billion.
Under the terms of the agreement, each Zeekr share will be exchanged for either $2.687 in cash per Zeekr Share or 1.23 newly issued ordinary shares of Geely of a nominal value of HK$0.02 each per Zeekr Share, based on the shareholders’ election.
Each American depositary share (ADS) of Zeekr (representing ten Zeekr Shares) will be exchanged for either $26.87 in cash per Zeekr ADS or 12.3 newly issued Geely Shares per Zeekr ADS, which will be delivered in the form of American depositary shares of Geely based on the ADS holders’ election. The cash consideration of $26.87 per ADS represents a discount of 3.41% from the stock’s last close.
Each Zeekr Share or Zeekr ADS held by a Hong Kong Non-Professional Investor will be cancelled in exchange for the right to receive $2.687 in cash for each Zeekr Share or $26.87 in cash for each Zeekr ADS, and will not be exchanged for the right to receive any Geely Shares.
Zeekr is a premium electric vehicle company under Geely, focused on designing, producing, and selling Battery Electric Vehicles (BEVs), powertrains, and battery systems, with operations in China, Europe, and beyond.
Geely already holds approximately 65.7% of Zeekr’s total issued and outstanding share capital.
Geely is a leading global automobile manufacturer headquartered in Hong Kong, engaged in designing, producing, and selling passenger vehicles, electric powertrains, and mobility technologies under brands like Geely and ZEEKR, with operations spanning China and international markets.
In May, Geely submitted a non-binding proposal to take ZEEKR private by offering $25.66 per ADS for the company. The Zeekr stock was trading at $22.59 per ADS before the offer was made.
Through this merger, Keystone Mergersub Limited, a wholly-owned subsidiary of Geely, will merge with and into Zeekr, with Zeekr continuing as the surviving entity and becoming a wholly-owned subsidiary of Geely.
The cash consideration for the merger will be funded through Geely’s internal resources or, if necessary, through debt financing.
The deal is expected to close in the fourth quarter of 2025.
Zeekr was advised on financial matters by Kroll and received legal advice from Simpson Thacher & Bartlett, Davis Polk & Wardwell, and Ogier. Meanwhile, Geely got financial advice from Citigroup Global Markets Asia Limited and legal support from Latham & Watkins and Maples and Calder (Hong Kong).
Geely is purchasing ZEEKR for 0.71 times its sales.
For a more detailed analysis of this M&A transaction, please refer to the Deal Metrics page here:
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Editor’s Note: Baranjot Kaur contributed to this article