Geely keeps silent on MBH share invitation
- Source: Global Times
- [17:23 May 20 2010]
- Comments
By Shi Jierui
Geely will release an announcement on whether the company will in fact buy shares of Manganese Bronze Holdings (MBH), Yang Xueliang, Geely Automobile's PR director, told the Global Times Thursday.
Yang did not confirm the rumor that the announcement would be released as early as June. He said a group of financial staff are in the process of assessing the subscription of 20million new shares of its partner from UK.
When being asked about whether Geely will cooperate with MBH on the development of new models, Yang only said, "The two companies will have more extensive cooperation in the future".
Geely said May 18 in a filing to the Hong Kong Stock Exchange that the company received a written notification from MBH after trading hours on Monday, being invited by the MBH to subscribe for 20 million shares of the latter.
Yang didn't answer questions about whether the company possesses enough capital to acquire MBH's shares after the Volvo deal.
Geely signed an acquisition contract to buy Volvo, an auto unit of US carmaker Ford Motor, for $1.8 billion at the end of March.
