- CNTV English - CCTV News

Geely completes Volvo acquisition

08-03-2010 08:59 BJT

Watch Video

Play Video

Chinese auto maker Geely has completed its acquisition of Ford Motors' Volvo unit, in a 1.5 billion dollar U.S. deal. It looks to give the small-but-ambitious Chinese auto producer a global brand. But there are huge management challenges ahead.

This is China's biggest foreign auto acquisition, and an unusually large deal for a private Chinese company. Geely says it paid 1.3 billion U.S. dollars in cash, plus a 200 million U.S. dollar loan note. That's less than the 1.8 billion dollar price announced in March, due to changes in pension obligations and working capital.

Chinese auto maker Geely has completed its acquisition of Ford Motors' Volvo unit, in a 1.5 billion dollar U.S. deal.
Chinese auto maker Geely has completed its acquisition of Ford Motors' Volvo 
unit, in a 1.5 billion dollar U.S. deal.

Volvo will keep its headquarters and manufacturing presence in Sweden and Belgium, and its board will have autonomy over company strategy.

Review: Geely's road to acquisition

The take over of Volvo was an ambitious move for Geely, previously a little known Chinese auto maker. And it wasn't without some hurdles. Let's take a look at the road to acquisition. Full story >>

Preview: Geely Chairman confident in Volvo's future 

With the deal now done, the real challenge for Geely will lie ahead as it aims to restore Volvo to long term profits. Chairman of Geely Group and Volvo Car Corporation, Li Shufu, told China Central Television that he hopes to restore Volvo to a leading position in the global luxury auto market. Full story >>

Hot Videos view more

The celebrations are still continuing as the victorious coach, Joachim Loew, has been honored for his achievement in his hometown of Freiburg.
Germany coach Loew honored in hometown of Freiburg

Chinese men´s national team continued its preparations for next year´s Asian Cup, as they managed a one-all draw against visitors Jordan during a football friendly in Harbin, the capital city of Northeast China´s Heilongjiang Province.
China held to 1-1 draw by Jordan

The defending world champs came into the contest with a perfect 6-and-oh record, but they would be in for a tough first half before opening things up in the second.
USA beat Slovenia 119-76 in quarter-finals

Hot Stories more

UK authorities believe killer of James Foley is a British national

Across the UK the hunt is on for James Foley’s killer, who authorities believe is a British national. As Richard Bestic reports from London, Prime Minister David Cameron cut short his summer break to lead his government’s response.

Israeli war jets renews Gaza strike as truce talks stalled

Three Palestinians were killed and 40 others wounded in the intensive Israeli war jets´ airstrikes on the Gaza city on Tuesday night, shortly before an end of a 24-hour ceasefire in the Gaza Strip,

Missouri police arrest dozens after violent night

As the protests in the town of Ferguson, Missouri turned violent with police facing ´heavy gunfire´ from some ´criminal elements´, cops fired tear gas, stun grenades and arrested 31 demonstrators on Monday night.

Picture in news more

More Video News

Choose TV Program