Core Viewpoint - Lotus Technology Inc. announced the exercise of a put option by Geely International, requiring the company to purchase 51% of Lotus Advance Technologies Sdn Bhd, enhancing its control over Lotus UK and consolidating its financial results [1][3]. Group 1: Acquisition Details - Geely exercised its put option on April 14, 2025, mandating Lotus Technology to acquire 51% of Lotus UK [1]. - The acquisition will be executed through a non-cash transaction based on a pre-agreed pricing method, expected to be completed by 2025, pending regulatory approvals [3]. - The acquisition aligns with the strategic goal of integrating all businesses under the Lotus brand, which is anticipated to strengthen brand equity and operational synergies [5]. Group 2: Financial Implications - The company will issue new shares valued at $10 per share as part of the acquisition consideration [5]. - Lotus UK is valued at 1.15 times its revenue plus cash minus debt, based on the audited financial report of 2024 [5]. Group 3: Operational Context - Lotus UK oversees the manufacturing of Lotus sportscars and hyper cars, as well as providing consultancy services to OEMs and Tier 1 suppliers globally [2]. - The put option agreements with Geely and Etika were contingent upon Lotus UK and its subsidiaries selling over 5,000 vehicles in 2024, a condition that has been satisfied as of December 31, 2024 [4].
Lotus Technology to Acquire 51% Equity Interest of Lotus Advance Technologies and Integrate All Business under Lotus Brand