Ford has officially announced that all substantive commercial issues relating to the sale of Volvo to the Zhejiang Geely Holding Group have been resolved. The current owner of Volvo revealed that it expects the deal to be signed in the first quarter of 2010 and the deal is expected to be fully finalized by the second quarter of next year. The sale is said to be worth about US$ 1.8 billion and it would be the largest acquisition of a foreign automaker by a Chinese company.
Ford also said that some work still remain before the deal can be completed and these include final documentation, financing (from Geely’s end) and relevant government approvals. Ford will focus on its core brand and also revealed that it will still continue to cooperate with Volvo in certain areas after the sale but confirmed that it does not intend to retain a shareholding in the Swedish brand.