Volvo Cars IPO
IPOs

The Future is Electric: Volvo Cars IPO Surges to the Second-Largest Capital Raise on Nasdaq Stockholm as It Pursues a Fully Electric Fleet

Looking to excel in the electric car market, Swedish automaker Volvo Cars listed on @Nasdaq Stockholm, aiming to raise approximately 20 billion SEK, the equivalent of $2.3 billion, and intends to use these funds to produce a fully electric fleet of cars.

Looking to excel in the electric car market, Swedish automaker Volvo Cars listed on Nasdaq Stockholm, aiming to raise approximately 20 billion SEK, the equivalent of $2.3 billion, and intends to use these funds to produce a fully electric fleet of cars.

“Our industry is changing, and we strive to lead that transformation. Volvo Cars has an ambitious strategy to become fully electric by 2030 and is undergoing a transition towards a more direct to customer sales model. Today’s listing on Nasdaq Stockholm will help us get there. I would like to extend a warm welcome to all our new shareholders. We will work hard to execute our plan and create further value for you all,” said Håkan Samuelsson, chief executive of Volvo Cars.

Volvo Cars’ listing marks the second-largest capital ever raised on Nasdaq’s European Markets since Telia’s initial public offering (IPO) in 2000. The Volvo Cars IPO also builds upon Nasdaq’s European Markets record 143 listings through the first three quarters of 2021.

“It's hard to see a company better suited to mark the largest listing we have seen at Nasdaq Stockholm in 20 years,” said Nasdaq Stockholm President Fredrik Ekström. “It is with great pride that we welcome a company that so many Swedes have a strong relationship with; its listing will provide access for many new shareholders.”

Volvo Cars, which was bought by China’s Zhejiang Geely Holding in 2010, is profitable, reporting that its sales jumped almost 18% in the first nine months of this year to 530,649 vehicles, driven by growth in the U.S., China and Europe. The company also noted that its line-up of chargeable models continues to be popular among customers and expects its sales to double to more than a million vehicles by 2025.

Ahead of its competitors, Volvo Cars was the first major car company to end the manufacturing of internal combustion engines, the most widely used—and highest polluting—method of high-speed travel. As of 2019, Volvo Cars assembles solely hybrid and electric vehicles. With an IPO valued at $18 billion, its promise to investors includes becoming a fully electric car company by 2030.

“Volvo Cars has taken important steps to continuously advance both safety and sustainability efforts within the industry. The access to our broad investor base, strong visibility and supportive technology solutions will support its journey as a listed company once again,” said Adam Kostyál, head of European Listings at Nasdaq.

Volvo Cars IPO

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