Thursday, December 24, 2009

Ford announced sale of Volvo Car Corporation to Geely

Ford sells volvo to geelyFord Motor Corporation is announced today that it sells Volvo Car Corporation to Zhejiang Geely Holding Group Company Limited. Ford announced Geely as its favored bidder and a few work still leftovers to be finished before the authorized signing off including documents, finance and government approvals.

Ford and Geely anticipate the sale to be completed in the first quarter of 2010 with an authorized finishing on the sale in the second quarter of 2010.

“The prospective sale would ensure Volvo has the resources, including the capital investment, necessary to further strengthen the business and build its global franchise, while enabling Ford to continue to focus on and implement its core ONE Ford strategy,” said in a report by Ford Spokesperson.

“While Ford would continue to cooperate with Volvo Cars in several areas after a possible sale, the company does not intend to retain a shareholding in the business post-sale,” said in a report by the company.

Geely will be acquiring Volvo for 1.8 billion dollars / 1.26 billion euros. Ford acquired Volvo for 6.45 billion dollars / 4.5 billion euros back in 1999.

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