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Tesla loan payoff opens up takeover scenario, is Google interested? [w/video]

Filed under: EV/Plug-in, Tesla Motors

‘Tesla needs to prove success is sustainable and that it is based on a solid financial foundation. If they do, they should be an appealing takeover target.’

Buried in the loan agreement text between Tesla Motors and the US Department of Energy were restrictions on the automaker’s ability to offer itself for sale. Now that the loan has been paid back early, speculation is ramping up that the company will get snagged by a bigger fish through a sale or a takeover. Bloomberg, in fact, is wondering aloud if Google will take the bait.

Now, before anyone gets all excited that the giant touchscreen in the Model S will get a clever logo redesign every holiday, we’ve heard unlikely rumors about other companies buying Tesla before (for example, Google’s competition, Apple) and Tesla CEO Elon Musk has said repeatedly that he isn’t going to step down any time soon. In fact, he told Bloomberg last month, “I’ve said from the very beginning, from the creation of Tesla, that our goal is to create a compelling mass-market car. I would not consider stepping away from Tesla until we’re there. We’re several years away obviously.”

Right now might be a bad time to buy the company anyway, given TSLA stock’s high value (over $100 today). In fact, Bloomberg has calculated that Tesla is trading for 816 times(!) its estimated 2013 earnings. If things continue to go well, money-laden companies like Google or another automaker might be interested in the EV builder. The former deputy CEO of Chrysler and onetime Toyota dealer body guru, Jim Press, told Bloomberg that, “Tesla has developed an appealing and credible product with game-changing technology. They need to prove their success is sustainable for the long term and that it is based on a solid financial foundation. If they do, they should be an appealing takeover target.”

Currently, Musk controls about 24-percent of Tesla shares. There are more details in the Bloomberg article here and there’s a video bit of speculation below.

Continue reading Tesla loan payoff opens up takeover scenario, is Google interested? [w/video]

Tesla loan payoff opens up takeover scenario, is Google interested? [w/video] originally appeared on Autoblog Green on Mon, 24 Jun 2013 18:29:00 EST. Please see our terms for use of feeds.

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Reports: Volvo denies talk of Saab takeover,
Muller looking for partner in China

Filed under: Europe, Saab, Volvo, Earnings/Financials

It looks like Volvo and Saab won’t be teaming up to create one Swedish carmaker to rule them all. According to Reuters, Volvo has made it clear that the company has had no talks with Saab about buying the besieged automaker and that none are scheduled to take place. The Swedish newspaper De Telegraf had previously reported that the Swedish government was urging Volvo into talks with Saab about a potential takeover. The move would mean that a government loan previously granted to Saab by the European Investment Bank would have a greater chance of being repaid.

Saab has hit (further) rough waters in recent months with multiple supplier hiccups resulting in production stoppages including instances of the automaker being unable to pay for parts. In addition, sales fell well short of 2010 forecasts, resulting in a further cash crunch. The Swedish automaker has since performed a few economic stunts to get production rolling again, including selling the company’s properties and re-leasing them at a lower cost.

In related matters, Automotive News reports that Saab CEO Victor Muller is looking to broker a deal with a Chinese automaker to help finance the company, although it is understood that Beijing Automotive Industry Holding Co. is not one of those parties. BAIC, you may recall, purchased old Saab assets (the previous generation 9-3 model, among other things) back in 2009 for $200 million, and it also expressed interest in buying Saab from General Motors before Muller’s Spyker stepped in and completed the purchase.

[Sources: Reuters, Automotive News]

Reports: Volvo denies talk of Saab takeover,
Muller looking for partner in China originally appeared on Autoblog on Fri, 22 Apr 2011 13:59:00 EST. Please see our terms for use of feeds.

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Muller looking for partner in China”

Rumormill: AMG considering full takeover of Ducati?

Filed under: Performance, Marketing/Advertising, Mercedes-Benz, Motorcycle, Luxury

Ducati and AMG

Ducati Diavel posing with Mercedes-Benz CLS63 AMG – Click above for high-res image gallery

At this point, we’re going to go ahead and file this one away in the Highly Unlikely File, but here we go anyway. According to Autocar, which has been known to publish a few whoppers every now and again, the recent tie-up between AMG, Mercedes-Benz’s high-performance division, and Italian motorcycle manufacturer Ducati could eventually lead to a full-blown takeover of the two-wheeled brand by its new German partners.

For now, all AMG and Ducati are saying is that they are looking at further ways to combine forces in mutually beneficial ways, which will soon include AMG sponsorship of Ducati’s MotoGP racing efforts. According to “inside sources” at Ducati, however, Autocar suggests that the partnership could lead to AMG-branded, Italian-built motorcycles as a way to improve the “green” image of the three-lettered in-house tuners of three-pointed stars.

The British magazine’s unnamed “insiders” also suggest that many employees at the Bologna-based factory would welcome AMG’s ownership and the newfound resources it would bring. Just so long as it’s not another so-called merger of equals… Click past the break for the full press release from Ducati announcing the current partnership.

Gallery: Ducati Diavel posing with AMG

Ducati Diavel posing with AMG

[Source: Autocar]

Continue reading Rumormill: AMG considering full takeover of Ducati?

Rumormill: AMG considering full takeover of Ducati? originally appeared on Autoblog on Fri, 19 Nov 2010 11:45:00 EST. Please see our terms for use of feeds.

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