Chinese To Take Controlling Stake In SsangYong
Published: 29th December 2003
The deal, expected to be finalised by March, will not affect existing European distribution agreements, including that in the UK where SsangYong UK has a two-year rolling contract.
Before making its final offer in late January, Blue Star will undertake a three-week inspection of the SsangYong accounts and a final formal contract is expected to be signed by the end of March 2004.
Liu Xianqiu, Blue Star's vice president, confirmed its plan to invest at least $1 billion to buy the controlling interest in SsangYong; this includes $700 million to expand the manufacturing capacity of the Korean company which produces sports utility vehicles, large saloons and MPVs.
In 2002 SsangYong built 161,000 vehicles with only 12,277 sold outside its domestic market.
SsangYong was put up for sale following the collapse of its parent company, the Daewoo Group, in 1999 with debts of $80 billion. GM bought some of Daewoo's operations in 2002 but not SsangYong.
Tom Martin, sales and marketing director of SsangYong UK , recently confirmed to Interchange that European sales through independent distributors would remain in place whoever bought the manufacturer. SYUK has a two-year rolling contract like most distributors under the new EU Block exemption agreement, he said.
SYUK expects to sell around 2,500 Rexton 4x4s in the UK and another
500 in Southern and Northern Ireland in 2004. “Plans are
in hand to extend the range with a large 4x4 MPV and possibly double
cab pick-ups within the next year,” said Martin.
Ssangyong Rexton
Our Ssangyong Rexton Guide lists the full specification of the current UK Rexton range, including car prices, fuel consumption, dimensions and other vital data.
Price Range: £19,995 - £24,995
Body Style:
Fuel:
Models in the range: 2
We have road tested the Ssangyong Rexton, to read our in-depth car review:
Ssangyong Rexton Review - Feb 2005
Our Car Buyer’s Guide covers all of the UK’s major new cars and includes CO2 ratings and car insurance groups. Data updated on the 6th July 2008
