GEELY AUTO(HK:00175) Guan Cha Zhe Wang·2025-09-16 06:21Core Viewpoint - Zeekr Technology Holdings Limited has overwhelmingly approved the merger agreement with Geely Automobile Holdings, marking its transition to a wholly-owned private company by Geely, with its American Depositary Shares (ADS) set to be delisted from the New York Stock Exchange [1][5]. Group 1: Merger Details - Approximately 96.8% of the company's total circulating shares participated in the vote, with 94.2% supporting the merger proposal [5]. - Geely will acquire all outstanding shares of Zeekr, with shareholders having the option to receive either $2.687 in cash or 1.23 shares of Geely stock for each Zeekr share [5]. - The merger is expected to be completed by the end of this year, following approvals from both Geely and Zeekr shareholder meetings [5][6]. Group 2: Financial Performance - Geely reported a core net profit of 6.66 billion yuan, a year-on-year increase of 102%, with a single vehicle profit of 4,724 yuan, up 37% from the previous year [6]. - The sales expense ratio for the group decreased to 5.6%, while the R&D expense ratio fell from 5.1% to 4.9%, with total R&D investment rising from 6 billion yuan to 7.3 billion yuan [6]. Group 3: Strategic Implications - The merger is a significant step in implementing Geely's "One Geely" strategy, aimed at enhancing its competitiveness in the global smart electric vehicle sector [7]. - Post-merger, Geely will cover a wide range of power systems, including fuel, pure electric, plug-in hybrid, and hydrogen electric vehicles, while strategically positioning itself in mainstream, mid-to-high-end, and luxury markets [7].