China state planner positive on nod for Geely’s Volvo buy

BOAO, China, April 10 (BestGrowthStock) – China’s state planner said
on Saturday it is leaning in favour of approving a landmark $1.8
billion deal for Zhejiang Geely, China’s top private carmaker, to
buy Ford’s (F.N: ) money-losing Volvo unit.

The deal, which was reached last month, must be approved by
China’s National Development and Reform Commission, the country’s
state planner, and the Commerce Ministry before it can close.

The NDRC had a positive attitude toward approval of the deal,
NDRC Vice-Chairman Zhang Xiaoqiang told reporters at the Boao
Forum on tropical island of Hainan off southern China.

“Personally I think as a private enterprise, after years of
hard work, coming to a deal to acquire Volvo was not an easy
task,” he said. “However there could be pressure on funding,
problems arising from cultural collaboration and relationships
with unions. If they can answer these queries, I think the NDRC’s
attitude is positive.”

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China state planner positive on nod for Geely’s Volvo buy