Ford Sells Volvo to Chinese Automaker
Chinese automaker Geely and Ford Motor Co. agreed to a $1.8 billion deal for the acquisition of Volvo. The Swedish carmaker’s sale marks the last foreign brand in Ford’s stable to be sold off in recent years following Aston Martin, Land Rover and Jaguar.
The Detroit News calls the deal the biggest Chinese acquisition of an overseas automaker. It will be interesting to see what Geely learns from Volvo as it looks to expand sales of its own vehicles outside of China.
While Geelys are still considered to be of lesser quality than most inexpensive cars sold in the U.S., the company’s chairman Li Shufu wanted to assuage fears that Volvo’s quality may suffer. "Throughout our negotiations with Ford and Volvo Cars management, I have emphasized the special care with which we will manage and build this asset," Li said.
Ford, Geely agree to $1.8B Volvo deal (Detroit News)