Volvo Cars could be worth EUR 4.6bn-EUR 5.7bn in the event of a listing
Volvo Cars, the Swedish auto company owned by Geely, the Chinese car manufacturer, could be worth SEK 45bn-SEK 55bn (EUR 4.6bn-EUR 5.7bn) in the event of a listing, according to an analyst at Handelsbanken, a Swedish bank, cited in a report by Dagens Industri.
This is after the Swedish media reported yesterday that Volvo could make a decision regarding a 2017 IPO before the end of the year after which Volvo later contacted the Swedish newswire, TT, and denied that the company is planning to list in the short term.
However, despite this, the paper reported that a decision to soon look at listing is still a very real possibility.
The item cited the Handelsbanken analyst who commented that listing Volvo Cars would give the Swedish auto industry a boost and would stimulate new companies entering the sector. He also estimated that Volvo Cars could reach an enterprise value of SEK 45bn-SEK 55bn if listed.