Monday, November 2, 2009

Geely Automobile confident about its bid for Volvo

The chairman of Zhejiang Geely Holding, Li Shufu, said that the company was confident about winning the bid for Ford Motor Co.’s Volvo car unit, Reuters reports. Zhejiang Geely Holding, the parent of Geely Automobile, leads a consortium that includes both domestic and foreign banks.

When this deal does go through, which has every indication of happening, will mark China ’s biggest acquisition of foreign auto assets. At the sidelines of a business event in Shanghai , Li had spoken with Reuters and he said that the talks were still at an early stage and were proceeding at a cautious pace. Lin said that the parties are taking their time in deciding on the details. Last Wednesday, Ford named Zhejiang Geely Holding as its preferred bidder. With the Volvo acquisition, Li said that it would then be able to promote Geely’s strategic development as it moves beyond Chinese market and onto the global stage.