Geely buys Volvo

Geely buys Volvo

A sum of $1.8 billion has been handed over by Chinese Car Manufacturers Geely.
The Sweedish car firm Volvo which was previously owned by Ford, is now in the hands of Geely. The deal which was signed on Sunday at the Gothenburg offices of Volvo in Sweden requires Geely to pay $1.6 billion in cash up front. The remaining $200 million is to be paid in the future although no formal arrangements for this is set. It seems that the Chinese firm has got themselves a bargain considering Ford paid a startling $6.45 billion for Volvo in 1999. Could this acquisition also be a reflection of the world powers as a whole? The American giant now is minus Aston Martin, Land Rover, Jaguar and Volvo, whereas Geely is on the up.