Volvo Cars Shares Plunge as Geely Sells Part of Stake

The Chinese company sold a 3.4% stake at a deep discount, leaving it with a 78.7% holding.

Volvo Cars shares fell by 14% on Friday, hitting a record low.
China's Geely, the majority shareholder, sold a 3.4% stake in Volvo Cars at a deep discount to the previous day's closing price.
The sale, which amounted to around $350 million, leaves Geely with a 78.7% holding in Volvo Cars.
The proceeds from the share sale are intended to support business development within Geely, with none of the cash going to Volvo Cars.
Geely has committed to a lock-up period of 90 days for its remaining shareholding.