Geely signs deal with Ford on Volvo takeover
- Source: Global Times
- [20:46 March 28 2010]
- Comments
China's Zhejiang Geely Holding Group signed a definitive stock purchase agreement with Ford Motor to acquire 100 percent of Volvo Car Corporation and related assets for nearly $1.8 billion (about 12.3 billion yuan) on Sunday in Goteborg, the Volvo's hometown.
The deal was inked by Geely Chairman Li Shufu and Ford's Chief Financial Officer Lewis Booth, at a ceremony witnessed by Li Yizhong, Minister of Industry and Information Technology of the People's Republic of China and Maud Olofsson, Swedish Deputy Prime Minister and Minister for Enterprise and Energy.
Li Shufu, Chairman of Zhejiang Geely Holding Group, said: "China, the largest car market in the world, will become Volvo's second home market. Volvo will be uniquely-positioned as a world-leading premium brand, tapping into the opportunities in the fast-growing China market."
Li added: "We are pleased to have reached this agreement with Ford, enabling us to safeguard and strengthen Volvo's renowned brand heritage. This transaction will ensure Volvo's continued leadership in the premium segment, where it enjoys a global reputation for safety and environmental-friendly technologies. This famous Swedish premium brand will remain true to its core values of safety, quality, environmental care and modern Scandinavian design."
