We have discovered that the acquisition of a major auto brand from a major manufacturer who had that brand in it’s stable for many years is not an easy task. Of course, negotiations involving the acquisition of any company is difficult on its face.It has been reported that Ford and Chinese automaker Geely had successfully tackled some of the most touchy issues including shared international property rights, and it appeared that the sales price had been set.
A spokesman for Geely said that three obstacles remain — crossing the T’s and dotting the i’s on legal documentation, wrapping up some financial issues and the approval by the regulators and government of the People’s Republic of China.
Our take? Oh, wait. Didn’t the Chinese authorities nix the Hummer deal to some Chinese heavy industrial manufacturer who did not have experience in making cars? But it appears that Tengzhong who was about to buy Hummer had more regulatory hoops to jump through than Geely. Still, Geely still needs to pass some checks and regulatory approvals.
So far, the parties concerned believe that everything will be worked out and the sale will go through by the end of March. Still, it has really become quite entertaining to watch how acquisitions play out during the few or more months companies are supposed to be involved in a sure thing negotiation.
via Motor Trend