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Discussion Starter · #1 ·
According to CNN Land Rover and Jaguar are up for sale along with Volvo. The thought now occurs to me that SAIC could buy Land Rover and Jaguar and actually secure the Rover brand as it wanted to a while back. Buy could they afford it? Anyway here's the article:

Source: http://money.cnn.com/news/newsfeeds/articles/djf500/200706091722DOWJONESDJONLINE000443_FORTUNE5.htm

DETROIT -(Dow Jones)- Ford Motor Co. (F) has hired Goldman Sachs Group (GS) and Morgan Stanley (MS) to shop the struggling auto maker's Premier Automotive Group European luxury brands, according to an advance copy of an Automotive News Europe story that cites unnamed sources.

The full Automotive News Europe story, which also says Italian auto maker Fiat SpA (F.MI) was interested in buying the Jaguar and Land Rover brands, will be published Monday. Fiat and Ford abandoned those talks in late May, the Automotive News story says.

"We don't comment on speculation and (this story) is speculation," Ford spokesman Ray Day said Saturday.

Ford, evaluating several options as it works to restructure its business, also talked to BMW AG earlier this year in relation to Ford's Swedish Vovlo brand, which is also a part of Ford's PAG unit. Ford recently said it isn't in the process of selling Volvo.

Ford earlier in 2007 sold its Aston Martin brand to a group of investors.

According to Automotive News Europe, Fiat group CEO Sergio Marchionne and Lewis Booth, head of Premier Automotive Group ended the discussions on a Jaguar and Land Rover sale because Fiat feared an adverse effect on its improving credit rating.

Both Ford brands would have been useful to Fiat as the emboldened carmaker prepares to launch its Alfa Romeo brand in the U.S. in the first half of 2009, the report says. The growing market for SUVs as well as Land Rover's U.S. dealer network made the brand appealing to Fiat.

-By John D. Stoll, Dow Jones Newswires; 248-204-5533; [email protected]
 

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Discussion Starter · #3 ·
Actually reports are suggesting that 3 billion dollars gets Jag and Land Rover. Land Rover is profitable but can not be separated from unprofitable Jag which desperatley needs to replace models and ditch the X type. If SAIC could get Land Rover/ Jag then they get the Rover brand. They get large R&D centers in the UK and just the right amount of production facilities.

Surely they could borrow against Ssangyong to do this? It would be worth it just to get the Rover brand. At least this would give them an answer to MG and a large dealer network!
 

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If a giant car company like Ford cannot handle Jaguar and Land Rover, how's SAIC going to do any better?

It would be a total disaster for SAIC to go "all in" with 3 billion USD on these brands.

Chinese companies must never repeat what the Japanese companies did in the 80's and go out and spend billions on international crap (due to big ego trips and too much money).

Only buy these brands when they go "kaput", much like the MG deal. Otherwise it's a death trap.
 

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Discussion Starter · #5 ·
BringIt, there's no danger in buying Land Rover as it already makes very good profits. In fact SAIC could boost profitabilty by opening another factory for them in China to supply the Chinese market. As for Jag they are 90 days away from launching the XF. Kill off the X type and it would be about profitable anyway. Really both brands just need nurturing and as Land Rover owns Rover then the big win for SAIC would be the possibility to make Rovers.
 
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