Volvo Sold To China's Geely

Sermo vester semper in gratia sale sit conditus, ut sciatis quomodo oporteat vos unicuique respondere. (Colossians 4:6)

The Local reports Chinese car maker Zhejiang Geely Holding has signed a deal to buy Sweden's Volvo Cars from U.S. auto maker Ford.

Volvo Cars spokesman Per-Åke Fröberg said: "I can confirm that a final agreement on the sale of Volvo to Geely was signed at 2:40 PM".

The deal was signed at Volvo headquarters in Gothenburg by Ford's Financial Director Lewis Booth and Geely's President Li Shufu, Fröberg said.

Booth confirmed that the sale was for $1.8 billion, less than a third of the $6.4 billion Ford paid for Volvo Cars in 1999.

Volvo has 22.000 employees worldwide, including 16.000 in Sweden.

Alan Mulally, Ford CEO, said in a statement: "Volvo is a great brand with an excellent product lineup", according to AutoWeek.

Swedish newspaper Svenska Dagbladet said on Saturday that Geely's chairman has given guarantees that all research and development activities will remain in Sweden.

Production will also first be assured by plants in Sweden.

The Chinese market is enormous, so Volvo is certainly in good hands.

"Praedica verbum, insta oportune, inportune, argue, obsecra, increpa, in omni patientia et doctrina", 2 Timothy 4:2.