Chinese auto makers bid for Pininfarina

Source: Global Times
[10:40 November 26 2010]
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By Guo Zhen

Some 10 automakers, three of which are Chinese, are bidding for the Italian car design firm, Pininfarina, according to foreign media reports.

Pininfarina, a world-famous car design company, has provided its services to a wide variety of high-end automobile manufacturers, including Ferrari, Maserati, Rolls-Royce, Volvo and Alfa Romeo.

Beijing Automobile Works Co. Ltd (BAW) and Mahindra Group, from India, top the list of bidders followed by Brilliance Auto, Jianghuai Automobile Co., Ltd. (JAC), Bajaj from India and Magna International Inc.

The Publicity Department of JAC told the Global Times that there is no formal circular regarding its bid. And to most employees the news are yet to be heard of.

Constant calls from the Global Times went unanswered to BAW's Publicity Department.

As for the influence on the Chinese auto market in case the bid goes to one of the Chinese counterparts, an insider told the Global Times that the acquisition will only provide domestic companies with an extra tool in design, but it will not affect the industry as a whole whatsoever.

"The key point is what exactly the Chinese side could acquire from the Italian company? Is it only a part of shares or the core technology?" he added.

An European auto news report said on November 17 that Magna International intended to acquire Pininfarina; however, the Italian company announced that they are seeking for more potential bidders.

Dieter Althaus, deputy director of Magna in Europe said that acquiring Pininfarina will help Magna improve the company's competitiveness by making full use of Pininfarina's technology.

Huang Yiwei and Shi Jierui contributed to this story