Ford "Prefers" Chinese Volvo Bid
Chinese car manufacturer Geely has made an offer for Volvo cars which according to its owner Ford is its "preferred" bid.
"Ford's objective in our discussions with Geely is to secure an agreement that is in the best interests of all the parties," said Ford's chief financial officer Lewis Booth in a statement.
"Any prospective sale would have to ensure that Volvo has the resources, including the capital investment, necessary to further strengthen the business and build its global franchise," Booth said.
Ford's Press spokesman John Gardiner told Swedish Radio news Ekot that no timeframe had been put on the discussions.
Geely is one of three potential buyers of Volvo, which was purchased by Ford in 1999 and put up for sale in December last year. The others are American consortium Crown and the Swedish consortium Jakob.
Volvo Cars welcomed the announcement, spokeswoman Maria Bohlin said. "It's positive that it has been confirmed that there's a preferred bidder," Bohlin said.
Volvo cars has its largest plant in Gothenburg on the West coast of Sweden. Sweden's car industry accounts for 15 percent of the country's exports