Geely buys a 10% stake in Mercedes-Benz owner Daimler AG

Volvo owner Geely is now also the biggest shareholder in Mercedes-Benz after taking a £6.4 billion stake in Daimler

Mercedes badge

Geely, the Chinese company behind Volvo, has taken a $9 billion (£6.4 billion) stake in Mercedes-Benz’s parent company Daimler. As a result, Geely is now Daimler’s largest shareholder with control of just under 10 per cent of the huge German car manufacturer.

Geely’s intentions had already been signalled by reports from the financial community that the firm was building its shareholding in Daimler. Now the move has been confirmed in a report to the markets by Daimler itself, in which it states that it welcomes another major investor.

Opinion: the future looks bright for Lotus under Geely

The Chinese firm, owned by billionaire Li Shufu, already owns Volvo, Lotus, and Polestar; the performance electric car brand which recently split from Volvo. It also owns Lynk & Co - another EV marque, targeting younger buyers - as well as flying car firm Terrafugia and the London Electric Vehicle Company, builders of the new London Taxi.

The 9.69 per cent stake in Daimler taken by Geely is said to signal its desire for technological cooperation, particularly in the electric vehicle field, as well as the kind of economies of scale enjoyed by the VW Group brands.

Mercedes-Benz has already stated its aim of launching 10 different electric vehicles by 2022 under its new EQ brand, and is widely thought to be a leader in terms of battery technology and electric car design. On the flip side, it could also open a new path into the Chinese market for Daimler and Mercedes-Benz.

What do you think of Geely's growing influence in the global car market? Let us know in the comments...

Group website editor

Steve looks after the Auto Express website; planning new content, growing online traffic and managing the web team. He’s been a motoring journalist, road tester and editor for over 20 years, contributing to titles including MSN Cars, Auto Trader, The Scotsman and The Wall Street Journal.

Recommended

Best new cars coming in 2024
Best new cars coming in 2024 - header image
Best cars & vans

Best new cars coming in 2024

There are some big new models from the likes of Audi, BMW, Citroen, Ford, MINI, Skoda and more on the way in 2024
20 Nov 2023
HWA to recreate Mercedes 190E 2.5-16 Evo II for the ultimate hot Merc nostalgia hit
HWA Mercedes 190E design sketch - front
News

HWA to recreate Mercedes 190E 2.5-16 Evo II for the ultimate hot Merc nostalgia hit

A restomod version of the iconic Mercedes will arrive in 2025 and cost over £620,000
17 Nov 2023
New 2024 Mercedes-AMG CLE set to snub V8 power for a turbocharged four-cylinder
Mercedes-AMG CLE63 Cabrio - front
News

New 2024 Mercedes-AMG CLE set to snub V8 power for a turbocharged four-cylinder

The performance-focused AMG 63 version of the CLE is coming soon
8 Nov 2023
New all-electric Mercedes eActros 600 lorry will keep on truckin' for 310 miles
Mercedes eActros 600 - front tracking
News

New all-electric Mercedes eActros 600 lorry will keep on truckin' for 310 miles

Mercedes is looking to change the haulage landscape with a new fully-electric truck
11 Oct 2023

Most Popular

New Renault 5: price, specs, launch and on sale dates
Renault 5 EV concept at 2022 Goodwood Festival of Speed
News

New Renault 5: price, specs, launch and on sale dates

Renault’s reborn Renault 5 will start from €25,000 in Europe, suggesting a circa-£30k price in the UK. It's due on sale in the summer of 2024. Here's …
1 Dec 2023
New BMW X3 replacement to grow in size and feature a minimalist dash
BMW Neue Klasse SUV exclusive image - front
News

New BMW X3 replacement to grow in size and feature a minimalist dash

BMW’s first Neue Klasse electric SUV could carry the iX3 nameplate and our exclusive images preview how it might look
30 Nov 2023
New 2024 Dacia Duster: third generation of Europe’s best-selling SUV revealed
Dacia Duster - front
News

New 2024 Dacia Duster: third generation of Europe’s best-selling SUV revealed

Dacia has taken the wraps off the latest Duster, which arrives with a new look and fresh technology
29 Nov 2023