Autoblog http://www.autoblog.com Autoblog http://www.blogsmithmedia.com/www.autoblog.com/media/feedlogo.gif Autoblog http://www.autoblog.com en-us Copyright 2009 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[Geely looking for 1M units from Volvo, plans Chinese factory]]>http://www.autoblog.com/2009/11/15/report-geely-looking-for-1m-units-from-volvo-plans-chinese-fac/http://www.autoblog.com/2009/11/15/report-geely-looking-for-1m-units-from-volvo-plans-chinese-fac/http://www.autoblog.com/2009/11/15/report-geely-looking-for-1m-units-from-volvo-plans-chinese-fac/#commentsFiled under: , , ,



Should Geely succeed in its bid to purchase Volvo, the Chinese automaker does not plan to spend any time playing in its new Swedish sandbox. Ford moved about 380,000 Volvos around the world last year; Geely wants to sell 2.5 times that amount within five years. How so? By injecting "two or three bigger, more luxurious cars" into the lineup and working its home market of China, which Geely feels could be unlocked for 200,000 vehicles alone. Those units could be supplied by a Chinese factory capable of making 300,000 cars per year and would presumably be larger than the upcoming redesigned S60 (above).

Ford has designated Geely its preferred bidder for Volvo. However, in an echo of the tensions between General Motors and Magna's Russian bidding partner Sberbank, Geely will need to address Ford's intellectual property concerns among other issues to complete a sale. Volvo's technologies and reputation for safety are probably worth as much as the company's physical assets, so it's not surprising that Ford wants to negotiate the technology transfer. Assuming they can come to terms, closing the deal is expected to cost Geely $2 billion.


Gallery: 2010 Volvo S60


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

Geely looking for 1M units from Volvo, plans Chinese factory originally appeared on Autoblog on Sun, 15 Nov 2009 16:59:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquisitionchinafordgeelyproductionvolvoSun, 15 Nov 2009 16:59:00 EST<![CDATA[REPORT: VW bids to save Karmann but coachbuilder holding out for more money]]>http://www.autoblog.com/2009/10/26/report-vw-bids-to-save-karmann-but-coachbuilder-holding-out-for/http://www.autoblog.com/2009/10/26/report-vw-bids-to-save-karmann-but-coachbuilder-holding-out-for/http://www.autoblog.com/2009/10/26/report-vw-bids-to-save-karmann-but-coachbuilder-holding-out-for/#commentsFiled under: ,



German coachbuilder Karmann has been in trouble since before the global economy caught its version of the swine flu, and from a workforce of 5,000 the company is down to 1,800. A huge order for VW electric vehicles was meant to keep the company going while it sorted out its issues, but even that won't be enough, so now VW is looking at buying the entire company.

Reports out of Germany say VW has offered a rather low amount for Karmann, something in the minimal double digits. But the three families behind Karmann want more. A lot more. Like, €65 million. That's nearly $100 million and probably far more than VW will pay, if for no other reason that Karmann's only other option, according to one of its own administrators, is liquidation.

Although it's possible that Karmann's owners could choose to disappear rather than accept VW's offer, we'd be surprised if that happened. What we think more likely is that VW, in the way it has had recently, gets its way. If things keep up like this, though, by the time the auto economy picks up again Volkswagen will own everything that isn't bolted down.

[Source: Automotive News - Sub. Req.]

REPORT: VW bids to save Karmann but coachbuilder holding out for more money originally appeared on Autoblog on Mon, 26 Oct 2009 08:27:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquisitioneuropeKarmannkarmann volkswagenKarmannVolkswagenvolkswagenMon, 26 Oct 2009 08:27:00 EST<![CDATA[Recork the Champagne? China says Hummer paperwork not submitted yet]]>http://www.autoblog.com/2009/10/12/recork-the-champagne-china-says-hummer-paperwork-not-submitted/http://www.autoblog.com/2009/10/12/recork-the-champagne-china-says-hummer-paperwork-not-submitted/http://www.autoblog.com/2009/10/12/recork-the-champagne-china-says-hummer-paperwork-not-submitted/#commentsFiled under: , , , ,


2008 Hummer HX concept - Click above for high-res gallery

Last week, it was reported that General Motors had signed a definitive agreement to sell Hummer to Chinese machinery manufacturer Tengzhong. The Chinese company and its partner in the deal, Lumena Resources Corp., would pay $150 million and receive Hummer and its intellectual property, ownership of U.S. franchise agreements, and manufacturing, business, and component assistance during a four- or five-year transition period.

The questions being raised now concern what is happening on the other side of the Pacific. The Chinese Commerce Ministry reportedly hasn't received Tengzhong's application to officially bring Hummer home, which has led observers to wonder if there will be a holdup or reversal of the deal. According to a Hummer representative, however, Tengzhong had to finalize the deal with GM before it could present it for approval to the Chinese authorities:

The closing of the transaction is subject to customary closing conditions and regulatory approvals and/or review by agencies in China and the U.S. Tengzhong has started communicating with the relevant regulatory bodies and will continue to support the application process in accordance with the requirements. Formal engagement was only able to begin with the signing of the definitive agreement.
If all goes well, Tengzhong hopes to have the deal closed by early 2010.


Gallery: Detroit 2008: HUMMER HX in the design studio


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

Recork the Champagne? China says Hummer paperwork not submitted yet originally appeared on Autoblog on Mon, 12 Oct 2009 16:29:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquisitionchinachinese governmentChineseGovernmentgeneral motorsGeneralMotorsgmgovernmenthummerhummer salehummer sale chinaHummerSaleHummerSaleChinasuvtengzhongtengzhong hummerTengzhongHummerMon, 12 Oct 2009 16:29:00 EST<![CDATA[REPORT: Major obstacle cleared as Swedish government to guarantee $615M EIB loan for Saab]]>http://www.autoblog.com/2009/10/06/report-swedish-government-to-guarantee-615m-eib-loan-for-saab/http://www.autoblog.com/2009/10/06/report-swedish-government-to-guarantee-615m-eib-loan-for-saab/http://www.autoblog.com/2009/10/06/report-swedish-government-to-guarantee-615m-eib-loan-for-saab/#commentsFiled under: , ,


2010 Saab 9-5 - Click above for high-res image gallery

A major hurdle in Saab's transfer to the homegrown hands of Sweden's Koenigsegg has been surmounted: the Swedish government has agreed to guarantee a 4.3 billion kroner ($615M U.S.) loan from the European Investment Bank to the Koenigsegg consortium. That represents the final funding the maker of the CCX needs in order to compete the financing of the deal.

The next hurdle is for the European Investment Bank to consent to give Koenigsegg the money. A Swedish government representative said he hoped the EIB would decide before the end of the month. If that happens and things goes favorably, Koenigsegg may still get the deal done on its original timeline, the end of the year.


Gallery: 2010 Saab 9-5


[Source: Reuters]

REPORT: Major obstacle cleared as Swedish government to guarantee $615M EIB loan for Saab originally appeared on Autoblog on Tue, 06 Oct 2009 10:58:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquisitionacquisitionsbaiceibEuropean Investment BankEuropeanInvestmentBankfinancegovernmentkoenigseggkoenigsegg saabKoenigseggSaabsaabswedenTue, 06 Oct 2009 10:58:00 EST<![CDATA[RHJ ups offer for Opel, commits to Vauxhall, has "good chances of winning"]]>http://www.autoblog.com/2009/08/12/rhj-ups-offer-for-opel-commits-to-vauxhall-has-good-chances-o/http://www.autoblog.com/2009/08/12/rhj-ups-offer-for-opel-commits-to-vauxhall-has-good-chances-o/http://www.autoblog.com/2009/08/12/rhj-ups-offer-for-opel-commits-to-vauxhall-has-good-chances-o/#commentsFiled under: , , ,



Belgian investment firm RHJ, once considered a back-up bidder for Opel, is now considered a front-runner - at least according to its own CEO. RHJ head Leonhard Fischer has already told U.K. officials that the company is committed to retaining the Vauxhall name, and speaking to German newspaper Handelsblatt, he said he likes his chances in the run for Opel.

Opel workers still want GM to settle on Magna and have asked the German government to nudge to GM make that happen. In response, RHJ is considering lowering the amount of aid it will request from the federal government to an amount that is €900 million ($1.27B U.S.) lower than the number Magna has requested. The flip side: RHJ would pay GM less in royalties to make up the loss.

Not that The General seems to mind. GM's chief negotiator said that a deal with RHJ was "virtually wrapped up" and just waiting on government approval. A deal with RHJ would also give GM fewer headaches on the Russia and intellectual property issues - problems with a Magna deal that GM has described as "significant." With a basic deal between GM and RHJ concluded, the main dealings now appear to concern GM and the federal authorities. And if RHJ wins, the question everyone will want to know is: will RHJ be Cerberus with a Flemish accent?

[Source: Automotive News - Sub Req.]

RHJ ups offer for Opel, commits to Vauxhall, has "good chances of winning" originally appeared on Autoblog on Wed, 12 Aug 2009 08:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquisitiongermanygmgovernmentmagnaopelrhjWed, 12 Aug 2009 08:30:00 EST<![CDATA[HUMMER hanging on: Tengzhong in talks with Chinese government to clear sale]]>http://www.autoblog.com/2009/07/05/hummer-hanging-on-tengzhong-in-talks-with-chinese-government-to/http://www.autoblog.com/2009/07/05/hummer-hanging-on-tengzhong-in-talks-with-chinese-government-to/http://www.autoblog.com/2009/07/05/hummer-hanging-on-tengzhong-in-talks-with-chinese-government-to/#commentsFiled under: , ,



Chinese National Radio recently reported that Tengzhong wouldn't be allowed to purchase Hummer due to environmental concerns. The company released a statement after that news broke saying that while there was no "definitive agreement," the CNR report wasn't based on facts from the government regulatory body in question, and Tengzhong is still working on the deal.

Last week, in a report titled "Tengzhong may get green light from the regulators for its acquisition of Hummer," CNR's take on where things appears to back up Tengzhong's view that the game is not yet played. The company's discussions with the National Development and Reform Commission (NDRC) and the Ministry of Commerce -- it needs approval from both parties -- have begun, and three options for concluding a deal were proposed.

If Tengzhong can convince the authorities of its expertise and business blan, and gets approval from both parties, it wants to set Hummer up in Sichuan province. If there is resistance to setting Hummer up directly, Tengzhong could try to base the company in one of China's ten bonded areas -- harbor points where the vehicles aren't officially "in" the country until taxes and fees are paid -- but this could impact the company's ability to sell Hummers in China. Or, the company could simply become a foreign investor in Hummer.

It isn't clear whether those options are Tengzhong's take on the purchase, or if that was just more speculation from CNR. Hummer had no comment on the matter.

[Source: Hummer]

HUMMER hanging on: Tengzhong in talks with Chinese government to clear sale originally appeared on Autoblog on Sun, 05 Jul 2009 18:08:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>acquisitionchinahummerhummer saleHummerSalenational development and reform commissionNationalDevelopmentAndReformCommissionndrcsuvtengzhongtengzhong hummerTengzhongHummerSun, 05 Jul 2009 18:08:00 EST<![CDATA[SAIC and Nanjing merge to form mega Chinese auto group]]>http://www.autoblog.com/2007/12/26/saic-and-nanjing-merge-to-form-mega-chinese-auto-group/http://www.autoblog.com/2007/12/26/saic-and-nanjing-merge-to-form-mega-chinese-auto-group/http://www.autoblog.com/2007/12/26/saic-and-nanjing-merge-to-form-mega-chinese-auto-group/#commentsFiled under: ,

Industry analysts widely agree that one of the principal factors preventing Chinese automakers from succeeding outside of China is the local industry's fragmentation, with over 100 automakers vying for their slice of the proverbial pie. However, a merger announced Wednesday between two major Chinese automakers, Shanghai Automotive Industrial Corp (SAIC) and Nanjing Automotive Group, stands a stronger chance of succeeding in the international car market as a larger group.

The merger, which has been long anticipated, involves SAIC paying $285.7 million for Nanjing. In return, Nanjing's parent company acquires 4.9 percent of SAIC Motor Corp.

The products of SAIC's joint ventures with GM and Volkswagen Group account for 14% of the domestic market in China, selling 1.25 million vehicles in the first ten months of 2007. Nanjing, meanwhile, sold less than 80,000 over the same period, making the acquisition a merger in the same sense as Mercedes had "merged" with Chrysler. Nanjing, however, owns MG Rover, whose plants in England SAIC hopes to use as a foothold into the European market.

[Source: Automotive News - subscription required]

SAIC and Nanjing merge to form mega Chinese auto group originally appeared on Autoblog on Wed, 26 Dec 2007 18:01:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquisitionautochinachinesegroupmergermgnanjingroversaicshanghaiWed, 26 Dec 2007 18:01:00 EST<![CDATA[Fiat chief: Alfa Romeo could benefit from Tata-Jaguar acquisition]]>http://www.autoblog.com/2007/12/19/fiat-chief-alfa-romeo-could-benefit-from-tata-jaguar-acquisitio/http://www.autoblog.com/2007/12/19/fiat-chief-alfa-romeo-could-benefit-from-tata-jaguar-acquisitio/http://www.autoblog.com/2007/12/19/fiat-chief-alfa-romeo-could-benefit-from-tata-jaguar-acquisitio/#commentsFiled under: , , , ,

The upcoming Alfa Romeo 169 flagship sedan is slated to be based on a modified platform from sister-company Maserati, but a potential tie-in with Jaguar could provide an interesting alternative.

A report from British magazine Autocar recalls that Alfa's parent company Fiat initially expressed interest in acquiring Jaguar and Land Rover from Ford, but decided to pass in favor of focusing on the rejuvenation of its own divisions instead. However, Indian automaker Tata, which is tipped to have placed the winning bid for the English marques, shares close relations with the Fiat Group. The Italian auto giant advised Tata on its acquisition bid, and the partnership could stand to benefit the Alfa Romeo division.

Borrowing a platform and powertrain from Jaguar could, according to Fiat chief Sergio Marchionne, lead to a "stunning" rear-drive Alfa 169, while optimizing the cost to benefit ratio for the Italian automaker. As Autocar points out, Land Rover's existing American dealership could also prove an irresistible asset for Alfa Romeo's imminent return to the US market.

[Source: Autocar]

Fiat chief: Alfa Romeo could benefit from Tata-Jaguar acquisition originally appeared on Autoblog on Wed, 19 Dec 2007 16:03:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquisitionalfa romeoAlfaRomeofiatjaguarland roverLandRovertataWed, 19 Dec 2007 16:03:00 EST<![CDATA[Porsche doesn't plan to take over VW... yet]]>http://www.autoblog.com/2007/07/30/porsche-doesnt-plan-to-take-over-vw-yet/http://www.autoblog.com/2007/07/30/porsche-doesnt-plan-to-take-over-vw-yet/http://www.autoblog.com/2007/07/30/porsche-doesnt-plan-to-take-over-vw-yet/#commentsFiled under: , , , ,

The latest in Porsche-Volkswagen relations is that the sports car maker has contingencies in place to raise its stake in the VW Group, but at this point is not planning an outright takeover.

As you may recall, when Porsche recently increased its ownership in Volkswagen AG, it was bound by German law to make an offer to purchase controlling interest. The offer Porsche submitted to Volkswagen shareholders was purposely low because Porsche didn't want to fully take over Volkswagen.

That law is now on the verge of being repealed, leaving the door open for Porsche to further increase its stake, but that doesn't mean that it will automatically take the opportunity to further entrench the anschluss between the two companies founded by Ferdinand Porsche. If, however, Porsche's position on the Volkswagen board is threatened, it could increase its stake up to 50-percent without any further bureaucracy and legal issues, but for now it plans on staying where it is.

[Source: Reuters]

Porsche doesn't plan to take over VW... yet originally appeared on Autoblog on Mon, 30 Jul 2007 18:36:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquireacquisitionchangecontrollinggermanygroupinterestlawporschesharesstakevolkswagenMon, 30 Jul 2007 18:36:00 EST<![CDATA[London Times claims Ford is selling Volvo. Ford says "We never said that."]]>http://www.autoblog.com/2007/07/16/london-times-claims-ford-is-selling-volvo-ford-says-we-never-s/http://www.autoblog.com/2007/07/16/london-times-claims-ford-is-selling-volvo-ford-says-we-never-s/http://www.autoblog.com/2007/07/16/london-times-claims-ford-is-selling-volvo-ford-says-we-never-s/#commentsFiled under: , ,

There are so many people inside and outside of Ford saying so many different things about Volvo that it's entirely possible the Swedish brand will be sold and Ford won't realize it until weeks later. The London Times Online posted an article yesterday stating that Ford decided, "in principle," at a board meeting two weeks ago, to sell Volvo. That piece quoted unnamed "City sources." A bevy of press outlets got in on the story, including the New York Times, quoting "people with knowledge of the situation" -- but those people said the board meeting was last week, not two weeks ago. Not long after the London Times piece, though, the Detroit News posted a column saying that "Ford won't confirm a possible sale of Volvo." It quoted John Gardner, a Ford of Europe mouthpiece, as saying "We're not in discussions with any company in relation to selling Volvo Car Corp." It also quoted John Hoyt, an American Ford spokesman, as saying the board meeting was last week, but "he knew of no decision." Still, all of this has been followed up with an article on Monday morning, euro time, stating the same sale rumors again.

Continue reading London Times claims Ford is selling Volvo. Ford says "We never said that."

London Times claims Ford is selling Volvo. Ford says "We never said that." originally appeared on Autoblog on Mon, 16 Jul 2007 03:37:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>acquisitionbreakingfordjaguarland roverLandRovervolvoMon, 16 Jul 2007 03:37:00 EST<![CDATA[Ghosn seeking partnership with US automaker again]]>http://www.autoblog.com/2007/06/05/ghosn-seeking-partnership-with-us-automaker-again/http://www.autoblog.com/2007/06/05/ghosn-seeking-partnership-with-us-automaker-again/http://www.autoblog.com/2007/06/05/ghosn-seeking-partnership-with-us-automaker-again/#commentsFiled under: , ,

According to the French newspaper Le Parisien, Renault-Nissan CEO Carlos Ghosn is on the hunt again for a U.S. partner. Considering that talks with General Motors about a possible alliance fell through last year when neither side could agree on what the other's partnership was worth, Ghosn has only Ford and Chrysler to consider now. Ford Motor Company is consumed with the task of turning itself around, and Chrysler is still on its honeymoon with Cerberus Capital Management after being sold by Daimler, so we're not sure either automaker is in a state of mind to talk alliances at the moment. However, Ghosn knows there are economies of scale to be had and excess production capacity to be utlized on U.S. soil, so the maestro of mergers will still be looking to hold hands with one of our domestic automakers in the near future.

[Source: Motor Authority]

Ghosn seeking partnership with US automaker again originally appeared on Autoblog on Tue, 05 Jun 2007 18:29:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquisitionalliancecarlos ghosnCarlosGhosnexpire-images:2008-6-4mergernissan-renaultpartnershiprenault-nissanTue, 05 Jun 2007 18:29:00 EST<![CDATA[Dennis Publishing acquires Octane magazine]]>http://www.autoblog.com/2007/04/06/dennis-publishing-acquires-octane-magazine/http://www.autoblog.com/2007/04/06/dennis-publishing-acquires-octane-magazine/http://www.autoblog.com/2007/04/06/dennis-publishing-acquires-octane-magazine/#commentsIn the ongoing struggle between magazines and websites, it should be immediately clear to anyone where we stand. With websites like ours getting constantly updated as the news emerges, magazines are increasingly becoming an outdated relic for delivering automotive news to enthusiasts (like yourself, reading this post).

There are, however, a few redeeming publications out there that deliver the kind of features that are best enjoyed in print, despite the stale news that precedes the juicy articles. Some of our favorite magazines come from across the pond, where members of the motoring press seem to have a better grasp of what makes for a quality publication. Among them are evo and Octane, two small-time magazines that consistently deliver quality content that rivals, if not exceeds, the offerings from the more established car mags on the news stand. (Check them out at your local magazine rack and you'll see what we mean.) evo consistently puts the most exciting cars through the paces while forgoing the boring minivan group tests, with a long-term test fleet that includes track cars and exotics. Octane, meanwhile, is a favorite of classic car enthusiasts and features regular columns from the likes of Jay Leno and Carroll Shelby alongside retrospectives and buying guides on the most iconic cars ever to grace asphalt.

Now these two quality publications will be coming under the same roof, as evo's parent Dennis Publishing has announced the acquisition of Octane Media. Dennis is an independent publishing house, where Octane joins its motoring division along with evo and Auto Express. The new synergy between these two top-drawer magazines should only help both continue to elevate the level of quality that will keep us reading even during those sad moments when we have to step away from our monitors.

Press release after the jump.

[Source: Dennis Publishing]

Continue reading Dennis Publishing acquires Octane magazine

Dennis Publishing acquires Octane magazine originally appeared on Autoblog on Fri, 06 Apr 2007 17:56:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquireacquisitionautodennisevoexpressmagazineoctaneoverpublicationpublishingpurchasetakeFri, 06 Apr 2007 17:56:00 EST<![CDATA[Thinking Big: new law opens path for Toyota takeover of Subaru]]>http://www.autoblog.com/2007/02/06/thinking-big-new-law-opens-path-for-toyota-take-over-of-subaru/http://www.autoblog.com/2007/02/06/thinking-big-new-law-opens-path-for-toyota-take-over-of-subaru/http://www.autoblog.com/2007/02/06/thinking-big-new-law-opens-path-for-toyota-take-over-of-subaru/#commentsFiled under: , , , ,

Toyota has been eying a takeover of Fuji Heavy Industries - Subaru's parent company - for some time now. When General Motors ditched its 20 percent stake in Fuji back in October 2005, Toyota snapped up 8.7 percent and the two have been undertaking a series of joint ventures since.

But that wasn't nearly enough for the Toyota Motor giant that's getting closer and closer to the #1 global automaker spot with each passing day. An acquisition of Subaru would bring them even closer, if only they could.

Continues after the jump.

[Source: Automotive News - sub. req.]

Continue reading Thinking Big: new law opens path for Toyota takeover of Subaru

Thinking Big: new law opens path for Toyota takeover of Subaru originally appeared on Autoblog on Tue, 06 Feb 2007 16:33:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>acquisitionantidomesticexportforeignjapanlawmergermonopolysubarutoyotatrustTue, 06 Feb 2007 16:33:00 EST