RIYADH: UK sports and racing car maker Lotus Group is studying an initial public offering within the coming two years to finance its global electric vehicle expansion plans.
Lotus’ managing director Matt Windle was reported as saying the firm is in “early discussions” about the move, according to the Financial Times.
Lotus split its business into two units in 2021: one in Norfolk specializing in manufacturing sports cars, and a luxury lifestyle unit in China to make electric vehicles.
The company plans to float the lifestyle unit but hasn’t disclosed where it plans to list the shares.
Funds raised from the IPO will be used to meet the company’s target of a 100-fold jump in sales over the next six years, according to the Financial Times.
The group, in which China-based Geely holds a majority stake, targets 100,000 vehicle sales by 2028, said Windle.
Geely’s step with Lotus follows a similar move of Volvo Cars which debuted last year, marking one of Europe’s biggest IPO’s during the year.