Money in da bank: Geely has obtained financing for Volvo purchase

According to a report by Swedish financial daily Dagens Industri, Chinese automaker Geely has reportedly obtained financing for its long-overdue purchase of Volvo from FoMoCo. The report says that financing was concluded in recent days and the money is now in Geely’s bank account.

Geely will reportedly cash out about $2 billion for the Swedish brand. The only thing standing in Geely’s way now is the approval of various Chinese, Swedish and U.S. officials.

Geely has previously said that it plans on keeping Volvo production in Sweden. Volvo currently employs 22,000 people on a global scale, 16,000 of those are located in Sweden.

Geely also plans on doubling Volvo’s annual global production with a new facility in Beijing, which is expected to make the loss-making brand profitable by 2011.

– By: Stephen Calogera

Source: AutoObserver