In January, it was reported that Zhejiang Geely Holding Group (ZGH) has talks to buy Chinese smartphone maker Meizu. Now, that deal has been finalized, with ZGH subsidiary Hubei Xingji Shidai Technology – a joint venture released last September by Geely founder Li Shufu to produce high-end smartphones and other connected devices – reached an agreement to buy a 79.09% stake in Meizu, South China Morning Post report.
According to a document released by the State Administration for Market Regulation (SAMR) last week, Xingji Shidai bought his shares from Meizu founder Huang Xiuzhang, who has a 9.8% stake currently. now down from 49% – and Taobao China Software, a unit of e-commerce giant Alibaba, has sold its entire 27% stake in the phone maker. The document did not disclose the value of the deal.
Control of Meizu, a smartphone maker backed by Alibaba Group Holding, will allow Geely to expand its footprint in mobile devices as well as accelerate the development of connected media services. convenience and contact information.
Founded in 2003, Meizu is a mid-range smartphone manufacturer based in Zuhai. The company, which started out by manufacturing portable music players before branching out into smartphones, known as a smaller version of Xiaomi, is also engaged in the production of electric vehicles. At its peak, Meizu sold more than 20 million of its smartphones, known for their affordability and functionality, but sales in recent times have dropped to around one million units. .
Xinji Shidai has yet to launch any smartphones, but its first model is expected next year and this will be given as a gift to buyers of Geely’s new premium sports car, China technology media agency Huxiu shown.
The Geely acquisition comes amid competition between tech companies and automakers looking to promote cars as another connected device. The company is also building satellite network to provide highly accurate GPS positioning data to guide autonomous vehicles.
