Volvo and its Chinese owner Geely have postponed plans to float shares in the Swedish car maker, blaming trade tensions and a downturn in sector stocks.
But while Volvo's plans for a Stockholm listing were delayed indefinitely, Britain's Aston Martin affirmed to push ahead with its own initial public offering.
"We've come to the conclusion that the timing is not optimal for an IPO right now," Volvo chief executive Hakan Samuelsson said.
Volvo and Geely had been discussing an IPO to value the car maker at between $16 billion (Dh58.8bn) to $30bn. The company said a listing was still possible in the future.
But Mr Samuelsson said IPO prospects had dimmed with the business cycle, amid a broad-based decline in automotive shares that has dragged the Stoxx 600 Autos & Parts index 15 per cent lower so far this year.
Even before the recent sell-off, however, some observers doubted the $30bn upper end of Volvo's target valuation.
"We had expressed our reservations concerning lofty valuation ambitions before," Evercore ISI analyst Arndt Ellinghorst said on Monday. "Trade wars are just one red flag."
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Washington's escalating trade dispute with Beijing and tensions with Europe have rattled investors, adding volatility to market outlooks.
Volvo is less exposed than its German premium rivals to US-China tariffs, however, and has said it will juggle production of its XC60 SUV to reduce their affect.
The manufacturer delivered 61,480 cars in China in the first half, a fraction of BMW's or Audi's sales.
Geely, which paid Ford Motor $1.8bn for Volvo in 2010, also has stakes in Mercedes-Benz parent Daimler, truck maker AB Volvo and Lotus.
The Chinese company and its boss Li Shufu had concluded that Volvo should make deeper inroads into the Chinese market before listing.
And Volvo, which is developing Polestar as an electrified performance brand and owns a stake in Geely stablemate Lynk&Co, has "other alternatives" to raise finance, Mr Samuelsson said.
The IPO postponement reflects bigger concerns about "price development after a potential IPO" rather than about the initial valuation, the chief executive added, citing sensitivities over the prevalence of public pension funds among Swedish investors.
"What made me nervous especially was leaving headroom for investors" amid growing market uncertainties, he said.
Swedish telecoms operator Telia drew public wrath after its shares sank from their 2000 debut. For a domestic car brand, such a setback could dent both image and sales.
Mr Samuelsson also said that Aston Martin, as a pure luxury play, was "more like Ferrari" - whose widely envied listing came close to late boss Sergio Marchionne's €10bn (Dh42) target valuation. Like Volvo, Aston Martin was once owned by Ford.
"I wish them luck with their IPO," Mr Samuelsson said.
The White Lotus: Season three
Creator: Mike White
Starring: Walton Goggins, Jason Isaacs, Natasha Rothwell
Rating: 4.5/5
In numbers: PKK’s money network in Europe
Germany: PKK collectors typically bring in $18 million in cash a year – amount has trebled since 2010
Revolutionary tax: Investigators say about $2 million a year raised from ‘tax collection’ around Marseille
Extortion: Gunman convicted in 2023 of demanding $10,000 from Kurdish businessman in Stockholm
Drug trade: PKK income claimed by Turkish anti-drugs force in 2024 to be as high as $500 million a year
Denmark: PKK one of two terrorist groups along with Iranian separatists ASMLA to raise “two-digit million amounts”
Contributions: Hundreds of euros expected from typical Kurdish families and thousands from business owners
TV channel: Kurdish Roj TV accounts frozen and went bankrupt after Denmark fined it more than $1 million over PKK links in 2013
COMPANY%20PROFILE
%3Cp%3ECompany%20name%3A%20CarbonSifr%3Cbr%3EStarted%3A%202022%3Cbr%3EBased%3A%20Dubai%3Cbr%3EFounders%3A%20Onur%20Elgun%2C%20Mustafa%20Bosca%20and%20Muhammed%20Yildirim%3Cbr%3ESector%3A%20Climate%20tech%3Cbr%3EInvestment%20stage%3A%20%241%20million%20raised%20in%20seed%20funding%3Cbr%3E%3C%2Fp%3E%0A
Skewed figures
In the village of Mevagissey in southwest England the housing stock has doubled in the last century while the number of residents is half the historic high. The village's Neighbourhood Development Plan states that 26% of homes are holiday retreats. Prices are high, averaging around £300,000, £50,000 more than the Cornish average of £250,000. The local average wage is £15,458.
The National's picks
4.35pm: Tilal Al Khalediah
5.10pm: Continous
5.45pm: Raging Torrent
6.20pm: West Acre
7pm: Flood Zone
7.40pm: Straight No Chaser
8.15pm: Romantic Warrior
8.50pm: Calandogan
9.30pm: Forever Young
Quick pearls of wisdom
Focus on gratitude: And do so deeply, he says. “Think of one to three things a day that you’re grateful for. It needs to be specific, too, don’t just say ‘air.’ Really think about it. If you’re grateful for, say, what your parents have done for you, that will motivate you to do more for the world.”
Know how to fight: Shetty married his wife, Radhi, three years ago (he met her in a meditation class before he went off and became a monk). He says they’ve had to learn to respect each other’s “fighting styles” – he’s a talk it-out-immediately person, while she needs space to think. “When you’re having an argument, remember, it’s not you against each other. It’s both of you against the problem. When you win, they lose. If you’re on a team you have to win together.”
The bio
Favourite book: Peter Rabbit. I used to read it to my three children and still read it myself. If I am feeling down it brings back good memories.
Best thing about your job: Getting to help people. My mum always told me never to pass up an opportunity to do a good deed.
Best part of life in the UAE: The weather. The constant sunshine is amazing and there is always something to do, you have so many options when it comes to how to spend your day.
Favourite holiday destination: Malaysia. I went there for my honeymoon and ended up volunteering to teach local children for a few hours each day. It is such a special place and I plan to retire there one day.
Jumanji: The Next Level
Director: Jake Kasdan
Stars: Dwayne Johnson, Kevin Hart, Karen Gillan, Jack Black, Nick Jonas
Two out of five stars
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
