The Chinese company Geely officially announced the acquisition of the Swedish brand Volvo for 1.8 billion dollars, reports AFP.
The transaction was carried out at the headquarters of Volvo in Sweden. Volvo spokesman Per-Aake Froeberg also confirmed the information held on the sale of the brand.
Since 1999, the right to Volvo belonged to the American carmakers Ford, who acquired the Swedish brand for 6,4 billion dollars. Recently, due to the global economic crisis, the company was in financial difficulties. Volvo brand has become unprofitable for Ford, so for him it was decided to find a new investor.
Earlier, concerns the sale of Volvo by the Chinese automaker expressed the Swedish media. The general mood of publications was reduced to fears that Geely is not yet ready for serious competition on the world market, while in China, Volvo may get lost in the mass of cheap local brands.
