Report

Peugeot-Citroën raises cash by selling its Paris headquarters

You know things are rough when you have to sell your corporate headquarters to raise some cash. But that's just what PSA Peugeot-Citroën did this week, unloading its Parisian office building for about $327 million, according to Automotive News.
The 48-year-old headquarters is located in Paris' central business district, not far from the Arc de Triomphe and the Champs-Elysees. According to the report, the French carmaker will continue to lease the building from its new owner, Ivanhoe Cambridge, a real estate subsidiary of Canadian pension fund management company Quebec Deposit and Investment Fund.

This latest move follows several efforts by PSA Peugeot-Citroën to reduce debt, cut costs and boost profitability. Last fall, it cut 6,000 jobs and in January it pulled out of Le Mans racing. In February, it announced a plan to liquidate assets and agreed to sell a seven-percent stake to General Motors, as part of a new global alliance that could help both car companies trim costs through shared purchasing.

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