Chinese Billionaire Sells $1.6 Billion Daimler Truck Stake

Oct 14, 2023

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Chinese billionaire Li Shufu's Zhejiang Geely Holding Group Co. has divested its 6.3% stake in truck maker Daimler Truck Holding AG, equivalent to roughly $1.6 billion at current market prices.

The company, which is also the biggest shareholder in Swedish truck maker Volvo AB, said it remains committed to its holding in Mercedes-Benz AG, according to a spokesperson. The owner of Volvo Car AB owned stakes in the two companies following a split of Daimler's car- and truck-making businesses into two separately listed units in 2021.

"Geely continues to have the same ownership stake in Mercedes as before with Geely's strategic focus on the car side with Mercedes," the company said.

Li's automotive holdings span a range of companies also including Lotus Technology and Aston Martin Lagonda Global Holdings Plc. Geely also recently inked a deal with Renault SA to pool combustion-engine assets as the industry moves into the electric age.

Geely's 8.2% stake in truck maker Volvo "represents a long-term profitable and strategic part" of its portfolio, it said earlier.

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