Daimler: forms joint venture with Geely for Smart
(CercleFinance.com) - The day after an article was published in the press on this subject, Daimler announces the formation of a joint venture with its Smart Compact vehicle brand.
The terms of the transaction have not been specified.
Smart is currently a loss-making subsidiary (according to the FT), which is fully owned by Daimler. Last year the Chinese group became the largest shareholder of Daimler, with a 9.7% stake in its capital.
The deal includes the next generation of "electric" Smart cars, which are expected to be marketed as from 2022.
Until then, Smart will continue to produce Smart's current ranges (Fortwo and Forfour) in Europe. Ultimately, production at the French Smart plant in Hambach will be modified, redirected for the production of compact models of Mercedes-Benz, Daimler's flagship brand, which will entail an investment of 500 million euros.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The terms of the transaction have not been specified.
Smart is currently a loss-making subsidiary (according to the FT), which is fully owned by Daimler. Last year the Chinese group became the largest shareholder of Daimler, with a 9.7% stake in its capital.
The deal includes the next generation of "electric" Smart cars, which are expected to be marketed as from 2022.
Until then, Smart will continue to produce Smart's current ranges (Fortwo and Forfour) in Europe. Ultimately, production at the French Smart plant in Hambach will be modified, redirected for the production of compact models of Mercedes-Benz, Daimler's flagship brand, which will entail an investment of 500 million euros.
Copyright (c) 2019 CercleFinance.com. All rights reserved.