(FT) Volvo Car shares rose 22.1% after an initial public offer to a market capitalization of about $23 billion from $18 billion. The new capitalization missed an earlier estimate of $30 billion.
Volvo’s shares surged to SKr64.73 from SKr53 in Stockholm on Friday following the debut.
Volvo is seeking to raise SKr20 billion or $2.4 billion from the IPO, which will be used to fund its goal of switching fully to electric car production by 2030.
Volvo free float will be around 14% if an over-allotment option is fully exercised. Zhejiang Geely still owns 82% of the automaker, while two Swedish pension funds control 4.4%.
Zhejiang Geely Holding had to convert its shares into normal stocks after potential Swedish investors protested on the voting rights.
VOLV-B: STO is down -1.1%.
