AutoWonder reports on some clever backstory regarding the sale of MG Rover to China's Nanjing Automobile. According to a report in China's Sina Auto, Nanjing's relationship with bidding-war rival Shanghai Auto (SAIC) had been contentious ever since SAIC beat Nanjing out of a preliminary joint venture deal with MG Rover. Could this be the sound of MGs 75s being pounded into swords?
The deal ended badly for Nanjing. SAIC ended up with the rights to build the Rover 25 and 75 (for which it paid $100 million), while Nanjing was given production duties of the cars — though the deal collapsed and MG folded. Vowing revenge, Nanjing executives allegedly held secret talks with MGR executors in June to pitch a takeover plan, which was approved last week. SAIC vows double-revenge, mulling legal action to block the sale, and vowing never to collaborate with Nanjing.
The Battle over Rover [AutoWonder]
Related:
Saved!: Nanjing Automobile Buys MG Rover [internal]