Mercedes to Invest in Geely-Backed Automated-Driving Firm Qianli

Mercedes-Benz Group AG is preparing to invest in Chongqing Qianli Technology Co., a Shanghai-listed developer of autonomous-driving systems, to bolster its software capabilities in China, according to people familiar with the matter.

The German automaker plans to buy a minority stake in Qianli, said the people, who asked not to be identified discussing private information. The company had a market capitalization of around 59.5 billion yuan ($8.35 billion) as of Wednesday. The two sides may announce a deal as soon as this week, the people said.