[OffRoadFun]

Coming to European luxury cars, Volvo is already owned by Chinese (Geely).
Seems like Daimler AG and consequently Mercedes-Benz may not be too far.

Daimler AG just disclosed two Chinese companies are its single largest shareholders, owning around 20% of the company, from around 9.8% in 2018.

Just like Tata owns Jaguar, well sort of similar.

https://www.bloomberg.com/news/artic...e-to-almost-10

[e46]

Originally Posted by OffRoadFun

Coming to European luxury cars, Volvo is already owned by Chinese (Geely).
Seems like Daimler AG and consequently Mercedes-Benz may not be too far.

....

https://www.bloomberg.com/news/artic...e-to-almost-10

Highly unlikely that the German government would let them increase their stake further. The incoming coalition is less close to China, compared to Angela Merkel government.

Moreover, AFAIR, the last government passed legislation which mandates Bundestag approval for any stake sale/buy process involving ~4-5%.

[AutoNoob]

Originally Posted by OffRoadFun

Coming to European luxury cars, Volvo is already owned by Chinese (Geely).
Seems like Daimler AG and consequently Mercedes-Benz may not be too far.

Daimler AG just disclosed two Chinese companies are its single largest shareholders, owning around 20% of the company, from around 9.8% in 2018.

Just like Tata owns Jaguar, well sort of similar.

https://www.bloomberg.com/news/artic...e-to-almost-10

These transactions took place in 2018 and 2019, but disclosed now as part of transparency. Since then, Daimler has also moved to other options for credit flow.

So, Chinese takeover may not happen in near future. Moreover, governments around have understood the Chinese game in last 2~3 years and most likely step-in before such transactions materialize.

Example : Indian government has already mandated pre-clearance for such investments.

Source : Daimler

Daimler signs €12 billion loan facility agreement
April 2, 2020

Daimler AG is increasing its financial flexibility with a further loan facility agreement in the amount of €12 billion. This is in addition to the existing €11 billion revolving credit facility with a term until 2025 including extension options. The additional loan facility can be utilized within a 12-month period with two extension options of six months.

The loan facility was agreed with the four lenders BNP, Banco Santander, Deutsche Bank and JPMorgan on April 1, 2020. Syndication has started. The further credit line creates an additional liquidity buffer in addition to Daimler’s already strong liquidity and financial flexibility. At the end of 2019, Daimler had gross liquidity of approximately €24 billion in its industrial business.

Daimler also demonstrated its access to the eurobond market earlier this week with the successful issue of a €1.5 billion five-year benchmark bond.

[DicKy]

I believe the Chinese companies' shares are just below the threshold for government approval. No way, the government would allow the Chinese to takeover one of their country's most visible entity.

This is same as saying VAG is Qatari, though since both Geely and BAIC are automobile companies in tie ups with Daimler, there will be tech transfer and other exchanges. With the world determined on BEVs, it is the Chinese who will hold sway.

[deetjohn]

I think more than the nationality of the holding companies, the larger markets influence the product road map.

So, in that regard, Mercedes is more Chinese than ever already! And that should sit well with the Indian customers too. Lots of chrome, lots of bling and LEDs galore, lots of room inside and additional room on top of that, huge touchscreens everywhere etc etc.