Ford Sale Of Volvo To Geely On Track

  • December 27, 2009
Ford Motor Company said all substantive commercial terms relating to the potential sale of Volvo Car Corporation have been settled between Ford and Chinese company Zhejiang Geely Holding Group Company Limited.

The company said that the sale agreement will be signed in the first quarter of 2010, with closing of the sale likely to occur in the second quarter, "subject to appropriate regulatory approvals."

Said the Ford statement on the matter: "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."

Ford also said that while it will do work with Volvo Cars in several areas after a possible sale, the company does not intend to retain a shareholding in the business post-sale.--Karl Greenberg



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