Mexican Media Brands
VW’s Plan to Sell Ducati Stalls
Volkswagen AG has suspended the proposed sale of its Ducati motorcycle business because of union opposition and internal debate about the plan, sources tells Reuters.
#labor
Share
Volkswagen AG has suspended the proposed sale of its Ducati motorcycle business because of union opposition and internal debate about the plan, sources tells Reuters.
VW acquired the brand in 2012. The carmaker began shopping the unit in April to help fund efforts to restructure and streamline its operations. Analysts estimate Ducati is worth about €1.5 billion.
But Reuters says labor representatives, who occupy half the 20 seats on the VW management board, oppose a sale at any price. VW’s Audi unit, which controls Ducati, also disagrees with details about the parent company’s strategy. Any deal must be approved by the board, which last week replaced its HR, sales, finance and manufacturing chiefs.
The sources say VW has told five would-be bidders not to make offers until the company resolves its internal differences about the plan. One source says negotiations aren’t likely to resume until next year.
RELATED CONTENT
-
Marchionne Cancels Trip to Paris Auto Show
Fiat Chrysler Automobiles CEO Sergio Marchionne has cancelled a planned appearance at the Paris auto show on Thursday.
-
EU’s Industry Commissioner: “Diesels Are Finished”
The Volkswagen diesel scandal triggered a “breakthrough moment” among European consumers about clean air that will mean the demise of diesels, says European Union Commissioner Elzbieta Bienkowska.
-
UAW Launches Strike Against GM
As expected, some 48,000 of the United Auto Workers Union members began a strike at midnight Sunday against General Motors Co. facilities in the U.S.