GM Finds Buyer for Hummer – Reportedly in China
Update 1:30 p.m. EDT: Bloomberg is reporting that the buyer of Hummer is Sichuan Tengzhong, a privately owned maker of special-use vehicles, structural components for highways and bridges, and construction machinery, according to what Bloomberg found on that company’s website.
By Brendan Moore
GM has Saab, Saturn and Hummer up for sale as part of their restructuring efforts, and the brand that many people thought would be the last one sold (and many thought it wouldn’t ever sell) apparently has a buyer. GM executives will state this morning as part of its second day of bankruptcy proceedings that they believe they have found a buyer for the Hummer brand. They are so far refusing to identify the next prospective owner of Hummer.
The buyer will reportedly take over Hummer by the end of the third quarter, but GM will continue producing the H2 and H3 trucks, as well as the SUVs under contract for the new owner for at least the first year. The new buyer apparently also intends to develop alternative-energy models for Hummer in the next few years.
GM is also mum on the purchase price, although previous interested parties from China and Russia were thought to be bidding around $500 million USD for the Hummer brand. The Hummer products still enjoy a certain amount of cachet in other regions of the world.
The Saab and Saturn brands are thought to have three serious bidders and one interested buyer respectively. Another GM brand, Pontiac, is not for sale and will simply be shut down, as GM did with Oldsmobile earlier this decade. If sales efforts are not successful with any of the three brands being offered, GM plans to go to Plan B, which is a very basic plan – the company will shut the brands down, along with Pontiac.
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