Renault, Nissan eye Ssangyong takeover

7th June 2010, Comments 0 comments

Japan's Nissan and France's Renault Samsung Motors jointly submitted a letter of intent to acquire Ssangyong Motor, the ailing South Korean automaker, a spokeswoman for the French group said Monday.

"Nissan and RSM (Renault Samsung Motors) jointly submitted a letter of intent" to take over Ssangyong, she told AFP.

Renault Samsung Motors is a subsidiary of the Renault group, which holds 80 percent of the company.

Ssangyong announced on May 28 that seven companies had joined the race to acquire Ssangyong Motor, without identifying them.

The firm, the country's smallest automaker, has been under bankruptcy protection since February 2009 after its former Chinese parent, Shanghai Automotive Industry Corp, declined to pump in more funds.

Ssangyong said the bidders had submitted letters of intent to Macquarie Securities Korea, which is advising on the deal.

© 2010 AFP

0 Comments To This Article