Volvo Cars is gradually approaching potential Initial public offering (IPO), according to a report Reuters“We are considering the possibility of an IPO before the end of the year,” Volvo Cars CEO Hakan Samuelsson said in an interview with the publication.

The Swedish automaker had previously negotiated a full merger with Geely Automobile, but Plan cancelled Due to the economic uncertainty at the time. On the contrary, the two companies agreed to carry out more in-depth cooperation in vehicle platforms, powertrains and other technical areas.

Volvo plans to list on the Nasdaq Stockholm Stock Exchange to enable it to raise cheap funds from enthusiastic investors to further develop its cars. Several automakers, including start-ups, have adopted the same approach in other countries.

Earlier this month, Volvo’s Tech Moment conference detailed several Key technology with feature It is planned in its Cars in the next few yearsHowever, the brand is also committed to providing additional services to improve profitability, including the provision of insurance and vehicle subscription payment plans (Volvo maintenance) Directly to the customer.

“The entire automotive business will be recurring revenue,” Samuelson said. In certain regions such as Europe, Volvo will seek to update its retail business so that customers can order vehicles directly from manufacturers and pay commissions to dealers to deliver the vehicles. However, in countries such as the United States where there are laws to protect dealers, franchised retail will remain the norm.

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