We’ve been hearing so much about the sale of Saab, Volvo, and other brands, we almost forgot about the sale of GM’s HUMMER brand to Sichuan Tengzhong Heavy Industrial Machines of China.A contract agreeing to the deal was signed by Tengzhong and GM in October 2009. The deal was supposed to have been closed by January 31.
Now both parties say that they have agreed to extend the deadline to the end of February. Why? The Chinese government must approve the acquisition. And that is where the delay lies. Tengzhong said that it started working with the Chinese regulators after the contract was signed. However, the China Ministry of Commerce, which has the responsibility of approving a sale like this, said that it had not received an application for approval of the purchase.
Jim Taylor, CEO of Hummer, has said that the process is not moving as quickly as expected, but he remains optimistic that the deal will be concluded.
via Automotive News