(Yicai Global) Dec. 14 -- Zeekr Intelligent Technology, the electric vehicle subsidiary of Chinese car giant Geely Holding Group, has applied to go public in the US.

Zeekr filed a draft registration statement to the US Securities and Exchange Commission for a possible initial public offering on Dec. 7, Hangzhou-based Geely said in a filing to the Hong Kong stock exchange yesterday.

No timeframe was announced as the IPO is still pending regulatory approval and both Geely and Zeekr have not made a final decision yet, Geely said. The size of the new share sale and the pricing have also not yet been determined.

Reuters reported on Dec. 12 that Zeekr is seeking to raise more than USD1 billion through a US IPO. However there was no comment from Zeekr at the time.

The flotation will allow Zeekr, which was set up in 2020 and is incorporated in the Cayman Islands, better access to equity and debt markets, Geely said. It will enhance brand value and allow Zeekr to grow independently and unlock its full potential, thereby benefiting shareholders. After going public, Zeekr will become a non-wholly owned subsidiary of Geely, it added.

Zeekr’s sales have been growing steadily for five consecutive months. Its November shipments surged five-and-a-half fold from the same period last year and 8.8 percent from the previous month to 11,000 units. The EV maker is on track to achieve its delivery target of 70,000 units this year.

However, it is still operating at a loss. The firm, which shares a chairman with Geely, racked up losses of CNY759 million (USD109 million) in the first half on revenue of CNY8.8 billion (USD1.2 billion) according to its semi-annual financial report.

Geely’s share price [HKG:0175] was trading down 1.4 percent at HKD12 (USD1.50) as of 12 noon China time today.

Editor: Kim Taylor