Geely’s procurement of Volvo almost over
From China.org.cn
Geely’s procurement of Swedish auto giant Volvo is approaching the final stage, the National Business Daily learned from Sweden. Volvo and its owner Ford Motor Company are expected to make the final approval as early as this month.In addition to Geely, which will get the majority of Ford’s stake in Volvo, a Swedish company will also acquire the remaining shares. Meanwhile, Ford will keep 10-15 percent of its presence in Volvo for the following 7-8 years, in order to facilitate the launch of new Volvo models.Ford plans to sell Volvo at around 20 to 25 billion Swedish Kronas (US$2.528 billion to US$3.159 billion), of which Geely will pay 15.6 billion Swedish Kronas.Previously, the Volvo Engineers Union had expressed dissent about the deal and wished for a European owner instead of Chinese Geely, an opinion also shared by higher officials in the Swedish government. However, Ford’s “package sale,” which involves a local Swedish company, greatly eased the dissent.Some experts told the National Business Daily yesterday that Geely’s boss, Li Shufu, will not merge the two companies, but will keep Volvo’s operation independent.Regarding Volvo’s XC90 manufacturing site in China, insiders from Geely mentioned that both Dong Guan in Guangdong Province and Tianjin Municipality are likely places. However, rumours spread earlier this month saying Beijing and Bazhou in Hebei Province may also be the host for the Swedish vehicles.
Obviously the Chang’an-Volvo JV is expected to stay on track, at least for the short term, but eventually it will probably be terminated and become a Geely-Volvo JV. Geely’s purchase of Volvo is expected to give it a huge technology boost over its Chinese competitors and an excellent pedigree brand. Geely CEO, Li ShuFu is the next Bill Gates.
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Li ShuFu is the next Bill Gates? Come on! The guy is the biggest FOB in China.
If you want to invest in Geely, this is the stock quote that you need to buy:
GELYF
http://www.google.com/finance?client=ig&q=PINK:GELYF
good to hear the good news, hopefully this will be a big boost for both companies.
What the hell is wrong with you, tomson??! Li IS CHINESE HIMSELF. SO SHUT THE HELL UP!!
Bill Gates?!? Yes, but in negative sense of words. Bill Gates is known as person to earn a lot of money, Li ShuFu will be known as person who lost a lot of money…remember Swedish workers are not exactly as Chinese…
What is an FOB?
Yes, and SAIC’s “procurement” of Ssangyong is almost over too.
Hope occupant safety won’t be sacrificed at the altar of profitability? We’ll be watching this one.
What a year! At the start of the year Geely was a joke. First DSI and now, if this is true, Volvo. Suddenly it looks as if the joker has become the king.
More like the court jester is now king of the land!
Geely is soon to have a massive leap over any one else in the land, and internationally.
GO GEEELY!!! GO VOLVO!!!
GOD BLESS YOU LI SHUFU AND YOUR TEAM!~
AMEN !
FOB? Fresh Off the Boat?
Li Shifu hasn’t left China.
I feel bad for Volvo, goodbye Volvo security slogan…
Go Geely!! Wise choice.
Geely’s Volvo purchase will help speed up China’s climb to the top of the car industry.
It’s pretty funny that some people think Chinese companies actually WANT to make unsafe cars, and that Geely would take already-safe Volvo cars and purposefully make them less safe. What the hell are you people smoking?
Well, Volvo employees financially backed by Volvo Group chairman is making a counteroffer to buy back Volvo cars from Ford in order to stop Volvo from falling into Chinese hand.