Saab has found a new home with Spyker, and now it looks like Sweden's other iconic brand is soon to be finally sold to a more remote buyer. Geely's chairman Li Shufu is reported to be in Sweden this week to finalize the deal to buy Volvo from Ford.
Ink is expected to hit the bottom line as early as Sunday, according to a Wall Street Journal report. The terms of the deal are thought to include a $1.8 billion price for Volvo. Geely's purchase of Volvo will give the Chinese automaker the entry into Western markets it wants to help expand its operations, and marks one of China's first sizable moves into the global automotive sphere.
Geely's plans for Volvo are rumored to include three new models: large, luxurious cars that Geely hopes will push global sales past the 1 million mark--a 250 percent increase over current sales figures. Ambitious, to be sure. Sweden is still expected to remain the center of the product planning universe within Volvo, with the company's engineering and marketing also largely staying put, though taking advantage of China's extensive and inexpensive engineering base for development could yield big cost savings for the company.
We'll keep our ear to the ground and bring you the latest on the future of the Geely-Volvo deal, though it looks like we could have an official announcement as early as next week.