Private automaker Zhejiang Geely Holding Group Co. Ltd. confirmed on March 3 the acquisition of British electric start-up company Emerald Automotive after a year of negotiations, promising investment of at least $200 million over the next five years for the development of the fledgling company's vehicles.

"The purchase is part of our technological development of new-energy vehicles," said Li Shufu, founder and chairman of Geely.

Victor Yang, spokesman for Geely, said the purchase is intended to expand the British electric taxi market first.

This isn't Geely's first acquisition in the British market, where demand for new-energy vehicles is outstripping that of other European countries.

In February, Geely paid $18.5 million for 80 percent of Manganese Bronze Holdings Plc., parent company of the maker of London's cabs.