China’s Geely wants Volvo’s car business, not interested in truck business

As reported last month, China’s Geely Automotive seems to be the only company that has submitted a concrete bid for Ford’s Volvo brand. Geely Automotive confirmed that bid today saying that its parent wants to buy Volvo from Ford to give it access to Volvo technology that it needs to upgrade its cars.

Many analysts speculate that a small, home-grown company like Geely won’t be able to come up with the money to make an international bid, which the media has valued at close to $2 billion.

“I believe if Volvo is for sale and Ford has a global announcement, then our parent will participate,” CEO Gui Shengyue told Reuters. “It is interested in Volvo’s sedan business and not trucks.”

He declined to give a possible value on the bid but said Geely Holding is waiting for Ford to formally put up the ‘For Sale’ sign on Volvo.

– By: Stephen Calogera

Source: Reuters