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Volvo Cars IPO Draws Lower Valuations in Initial Feedback

  • Investors valuing firm at about $12 billion to $18 billion
  • Owner Zhejiang Geely had discussed value of up to $30 billion
A Volvo XC90 automobile, produced by Volvo Cars, sits on display at the Paris Motor Show in Paris.

Photographer: Simon Dawson/Bloomberg

Updated on

Initial investor feedback has valued Volvo Cars far below owner Zhejiang Geely Holding Group Co.’s top-end estimates for a potential listing, people familiar with the matter said.

Select institutional investors have indicated the Swedish carmaker is worth about $12 billion to $18 billion in early meetings to discuss an initial public offering, the people said, asking not to be named as the deliberations are confidential. China’s Zhejiang Geely and Volvo Cars had discussed a value of $16 billion to $30 billion, people familiar with the matter said in May.