"Sounds like a good strategy. Fuji Heavy to fill the gap between Geely and Volvo with new products," said Yale Zhang, Head of Automotive Research Foresight, in Shanghai.
Described, Geely has sent an offer to buy 20 percent stake in Subaru through the intermediary of investment banking. Thus, Geely would be a majority owner of Subaru even larger than the Toyota Motor Corporation, 16.5 percent of the shares.
In fact, the offer was never responded to Subaru. Kenta Matsumoto, a spokesman for Fuji Heavy in Tokyo denies ever heard of the offer. Instead, Geely spokesman had no comment.
HangingThough it was rejected, the desire to annex Subaru Geely is still open. Li Shufu, Geely's founder and Managing Director stated, be willing to reduce the number of shares bid kepmilikan that the agreement could be reached.
Toyota spokesman would not comment about it.
TechnologyFamous Subaru boxer engine technology or harisontal opposite and all-wheel-drive (AWD), in fact never filed a joint of the Chery Automobile Company to assemble cars in China. But the central government in Beijing refuses because as majority owner of Toyota Subaru already had two companies combined in China. The Chinese government requires that all co-operation creates a combined company with 50:50 share ownership with local partners.
Because of this rejection, last week, executives said Fuji Heavy is no longer interested in producing cars in China, at least until 2016. Subaru actually lowered its global sales target to 50,000 units per year level.
After the successful purchase of Volvo Car Croporation Ford, the automotive giant from China, Geely Holding Group also intends to annex Fuj Heavy Industries Limited, manufacturer of Subaru. According to the company's two internal sources, the desire is aimed at strengthening the technological base of Geely Automotive is sparked late last year (2011).
"Sounds like a good strategy. Fuji Heavy to fill the gap between Geely and Volvo with new products," said Yale Zhang, Head of Automotive Research Foresight
