Daimler to sell a 50 per cent stake to Geely
They are talking about Daimler's small-car brand
/NOVOSTIVL/ Mercedes-Benz owner Daimler is nearing a deal to sell a 50 per cent stake in its small-car brand to China’s Geely, according to three people familiar with the plan. This article appeared in the Financial Times.
The sale of the stake in its Smart division will be confirmed before the Shanghai Auto Show in April, said one of the people.
The move by Geely, which became Daimler’s largest shareholder last year, may be to help out the German group as it struggles to carry the lossmaking Smart brand, which sells only 130,000 cars a year — a fraction of the 2.25m cars Mercedes-Benz sells.
Daimler and Geely have become closer in the past year. In October, they announced a joint-business to offer ride-hailing services in China.