According to an announcement issued by the State Administration for Market Regulation, Hubei Xingji Times Technology Co., Ltd., a smartphone trading company owned by Geely, has signed an agreement with smartphone maker Meizu and its shareholders to acquire a 79.09% interest in the company.
Chinese automobile company Geely officially announced its entry into the smartphone space in September last year with the smartphone project’s headquarters centered in Wuhan, Hubei province. The company’s efforts focus on the high-end smart smartphone and aim to serve the global market. Xingji Times was established in September 2021 and Geely founder Li Shufu owns 57.8452% of the shares.
Meizu was established in March 2003 focusing on the R&D of smartphone software and hardware. The Company is also engaged in smart wearable devices, smart home appliances, fashion consumption and electronic products.
Prior to this transaction, Meizu founder Huang Xiuzhang and Taobao China held 49.08% and 27.23% of Meizu shares respectively. After the transaction, Huang’s stake in Meizu was reduced to 9.79% and Taobao China withdrew its stake and control in the company. Buyer Xingji Times will hold a 79.09% stake in Meizu and take independent control.
Meizu also told Tencent media Technology on Monday that Xingji Times, led by Li Shufu, signed a strategic investment agreement. However, the transaction had yet to go through the approval procedures by the relevant regulatory authorities and the details of the transaction are still being negotiated.
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Aside from Geely, NIO and Tesla also plan to make smartphones. William Li, Founder of NIOalso said recently in a media interview that NIO would launch a smartphone in the near future to match the company’s electric vehicles.