• Jul 8th 2008 at 9:02AM
  • 14

Following up on our report last month about Volvo possibly going to the Chinese, state media is now reporting that Chery Automobile, one of the largest independent and fastest growing Chinese auto manufacturers, has its eyes on the Swedish automaker. Although officials at Chery rule out the possibility of buying Volvo, other sources have stated that the Chinese automaker has already negotiated funding for a possible acquisition. If so, that funding will be significant-insiders put Volvo's value at 30 billion yuan (about $4.4 billion dollars). This isn't the first time that Ford has been rumored to be cashing-out on Volvo... however, it was just two months ago that Ford officials reiterated that Volvo was not for sale. We wouldn't bet our yuan on it.

[Source: Automotive News, subs. req'd]

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    • 1 Second Ago
      • 7 Years Ago
      Maybe SAIC can buy Volvo. They came up with the Roewe brand after getting shut-off from acquiring the Rover brand. The Roewe is not bad looking, but as a brand has not credibility.
        • 7 Years Ago
        > Maybe SAIC can buy Volvo.

        $6 billion is too rich for SAIC either.

        I don't think Volvo will go to Chinese, especially when Renault and BMW lined up as interested parties.

        Chrysler/Dodge/Jeep is another matter. When Cerberus sells Chrysler, it will split up the brand and sell them for $2.5~3 billion each to maximize their return. Chinese will have a shot at Chrysler, the least valuable of three brands.
      • 7 Years Ago
      Don't like them China is a paper tiger and nothing backs there money, they won't tell anyone the whole world whats backs there money and the US debe to them does cover the billions and billions they print to take of global markets based on lies and what they tell you about there power Big paper Tiger.. Dont sell your not getting anything but bad debt
      • 7 Years Ago
      Noooooo, well I guess I will never own another Volvo unless I buy one soon.
      • 7 Years Ago

      Hope BMW or Renault will buy it instead. Or perhaps some Swedish consortium might want to buy it.
      • 7 Years Ago
      Renault did own Volvo for a very brief time and sold it as fast as they could,but still own a large share of Volvo truck, who would have figure the French on the top of the Global auto industry "they have a majority in Nissan as well"
      • 7 Years Ago
      I have a 98 c70 with over 200,000 miles on it, runs like a champ STILL..and I would really hate to see volvo sold. They saved ford in a time of crisis...true quiet heritage there...
      • 7 Years Ago
      not gonna happen.

      Volvo AB

      or maaaaaybbbbbbeeeeeeeeee BMW

      Those are the only places it will go.
      David Lafleche
      • 7 Years Ago
      Oh, for cryin' out loud! We have GOT to put a stop to this "global economy" nonsense! Globalism is all about money and power, and these greedy monsters don't care whom they have to kill to get it. The love of money is the root of all evil.
      • 7 Years Ago
      I'm not liking this at all. I might have to get rid of my Volvo C70 and I just purchased in no more than a month ago. It wasn't brand new, but it was sweet.
      • 7 Years Ago
      One thing for sure, if Ford does find a buyer for Volvo, you can bet your bottom dollar that Ford will retain at least 33% equity in the deal.

      Ford cannot scrap all the investment it has put into Volvo. Its platforms depend on them. And the safety issue is worth its weight in gold.

      But it does make sense to let someone else with more capital take hold of the reins for a while to help build the brand more so. Ford has to spend more time on rebuilding its own core portfolio: Lincoln-Mercury-Ford in the near term anyway.
      • 7 Years Ago
      Ford is asking for $6 billion, $1.7 billion more than Chery's offer. Unlike Jaguar and Aston Martin, Ford does need Volvo and won't get rid of it cheaply.

      Volvo won't go to Chery.
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