Mexican Media Brands
Zetsche Confirms Daimler in Talks About Equity Sale to BAIC
Daimler AG CEO Dieter Zetsche confirms to Reuters that the carmaker is discussing a possible equity sale to China's BAIC Motor Corp.
#economics
Share
Daimler AG CEO Dieter Zetsche confirms to Reuters that the carmaker is discussing a possible equity sale to China's BAIC Motor Corp.
A Taiwanese media report last month cited BAIC Chairman Xu Heji as saying the companies were in talks and a deal was expected by year-end. Daimler currently holds a 10% stake in BAIC, a Hong Kong-listed unit of Beijing Automotive Group.
The two companies have partnered for years in assembling Mercedes-Benz passenger vehicles and commercial trucks in China. Daimler's largest shareholder is Kuwait's investment authority Investment Dar with a 6.8% stake.
Zetsche says any equity sale to BAIC would be structured not to dilute the stakes of current shareholders.
RELATED CONTENT
-
On The German Auto Industry
A look at several things that are going on in the German auto industry—from new vehicles to stamping to building electric vehicles.
-
Study: Border Tax, NAFTA Exit Would Hurt U.S.
The U.S. auto industry would lose at least 31,000 manufacturing jobs and 450,000 units of annual sales if the U.S. imposes 35% tariffs on cars from Mexico, as President-elect Donald Trump has vowed to do.
-
GM, Ford Evaluate Possible Economic Slump
General Motors and Ford say they have bolstered their cash reserves in case the trade war between the U.S. and China triggers a global recession.