As you’re probably aware, this week began with rumblings that several Chinese automakers, some of them state-owned, are taking an interest in Fiat Chrysler Automobiles. Not entirely surprising, as we all know FCA CEO Sergio Marchionne’s spent the past year or so positioning his company for a potential takeover. Slashing debt, consolidating its operations, all to look pretty for that potential mate.
Sure, General Motors and Volkswagen rebuffed the company’s awkward advances, but there’s plenty of fish in the sea for a company with an urge to merge. However, with cash-flush Chinese manufacturers, buyouts are more likely than partnerships.
If it comes to pass, it might not be a bad thing for the volatile American automaker. China’s Zhejiang Geely Holding Group Co., owner of Volvo Cars, did great things for the Swedish brand, overcoming its financial issues while affording the automaker a hands-off approach. Is Volvo making great cars again? Is it on solid footing?
All signs point to “yes.” (Read More…)















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