DaimlerChrysler: VW raised idea of U.S.-German automaker taking stake
DaimlerChrysler: VW raised idea of U.S.-German automaker taking stake
Associated Press
STUTTGART, Germany -- Volkswagen AG has suggested in recent years that DaimlerChrysler AG take a stake in its fellow automaker, a spokeswoman for DaimlerChrysler said Friday.
Volkswagen raised the idea several times, "but it never led to a result," spokeswoman Ursula Mertzig-Stein said.
Her comments came after the weekly Focus, citing supervisory board sources, reported that DaimlerChrysler had contemplated taking a 20 percent stake in Volkswagen.
A third German automaker, Porsche AG, announced Sunday that it was taking a roughly 20 percent stake in Volkswagen in a move designed to prevent a potential hostile foreign takeover of VW and secure ties between the two countries.
That prospect could arise if the European Court of Justice rules against a German law that keeps any VW shareholder's voting rights at 20 percent and effectively protects the company from a hostile takeover.
The current biggest shareholder is the state government of Lower Saxony, which holds 18.2 percent.
Mertzig-Stein said there were talks between DaimlerChrysler and Volkswagen on individual projects, but did not elaborate.
Shares of DaimlerChrysler were down 1.2 percent to $53.05, while shares of VW were up 1 percent to $61.22.
STUTTGART, Germany -- Volkswagen AG has suggested in recent years that DaimlerChrysler AG take a stake in its fellow automaker, a spokeswoman for DaimlerChrysler said Friday.
Volkswagen raised the idea several times, "but it never led to a result," spokeswoman Ursula Mertzig-Stein said.
Her comments came after the weekly Focus, citing supervisory board sources, reported that DaimlerChrysler had contemplated taking a 20 percent stake in Volkswagen.
A third German automaker, Porsche AG, announced Sunday that it was taking a roughly 20 percent stake in Volkswagen in a move designed to prevent a potential hostile foreign takeover of VW and secure ties between the two countries.
That prospect could arise if the European Court of Justice rules against a German law that keeps any VW shareholder's voting rights at 20 percent and effectively protects the company from a hostile takeover.
The current biggest shareholder is the state government of Lower Saxony, which holds 18.2 percent.
Mertzig-Stein said there were talks between DaimlerChrysler and Volkswagen on individual projects, but did not elaborate.
Shares of DaimlerChrysler were down 1.2 percent to $53.05, while shares of VW were up 1 percent to $61.22.
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RE: DaimlerChrysler: VW raised idea of U.S.-German automaker taking stake
DaimlerChrysler had contemplated taking a 20 percent stake in Volkswagen.
-Matt-