It’s official: Volvo sold to Geely for $1.8b USD

It’s official: Volvo sold to Geely for $1.8b USD

After months of lengthy negotiations, Ford has officially sold Volvo to Geely for $1.8 billion USD.

The Chinese automaker originally included a $200 million note and the balance in cash, and yesterday, it paid the remaining $1.3 billion to wrap up the sale, although the final sale price won’t be released until later this year and could mean even more cash for Ford.

Under the conditions of the sale, Ford will keep supplying Volvo with almost everything from powertrains to stamping systems and other vehicle components for various periods of time. Ford and Geely have also come to an agreement on tricky intellectual property usage, with Volvo being allowed to grant sub-licenses to specific systems to third parties, including Geely.

Stefan Jacoby — formerly of Volkswagen — will become the new President and Chief Executive of Volvo Cars, and the automaker will continue to keep its headquarters and manufacturing centers in Sweden and Belgium.

After months of lengthy negotiations, Ford has officially sold Volvo to Geely for $1.8 billion USD.

The Chinese automaker originally included a $200 million note and the balance in cash, and yesterday, it paid the remaining $1.3 billion to wrap up the sale, although the final sale price won’t be released until later this year and could mean even more cash for Ford.

Under the conditions of the sale, Ford will keep supplying Volvo with almost everything from powertrains to stamping systems and other vehicle components for various periods of time. Ford and Geely have also come to an agreement on tricky intellectual property usage, with Volvo being allowed to grant sub-licenses to specific systems to third parties, including Geely.

Stefan Jacoby — formerly of Volkswagen — will become the new President and Chief Executive of Volvo Cars, and the automaker will continue to keep its headquarters and manufacturing centers in Sweden and Belgium.

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