09-23-2006, 03:34 AM
highest bidder get it....
no low ballers please
no low ballers please
Quote:This past Friday, Ford announced something that we figured was going to happen sooner or later; the sale of one of the brands that makes up the Premiere Auto Group (PAG) branch. But the thing is that the brand thatââ¬â¢s potentially up for sale isnââ¬â¢t the one most of us had expected. Rumours had been circling that Jaguar was up on the auction block due to its particularly poor sales, with potential bids from Hyundai, Renault-Nissan, and even JCB, the agricultural equipment company that recently hit 563 km/h (350 mph) on the Bonneville Salt Flats, breaking the land speed record for diesel automobiles with the DieselMax. Instead, the division thatââ¬â¢s being considered for sale is Aston Martin.
Officially speaking, Ford has begun the process of exploring strategic options for Aston Martin, with particular emphasis on a potential sale of all or a portion of the unit; Ford Chairman and CEO, Bill Ford Jr. said, "Aston Martin Lagonda has flourished under Ford ownership, which is why we believe it is prudent to consider a sale of all or part of this prized brand."
Ford is currently taking bids on the company as a whole, though itââ¬â¢s more likely to sell a majority stake, retaining something to the effect of 20 percent ownership. It does maintain, however, that there are no guarantees that it will sell the brand.
Although we would hate to see Aston leave its current home, given its success as a small-volume production firm under Ford, it sale would make the most sense out of all the PAG products. Unlike Jaguar, Land Rover, or Volvo, the other members of PAG, Aston Martinââ¬â¢s entire brand strategy is different. With such a small dealer network composed mostly of individual authorized retailers, and an automobile range that is comprised of unique and bespoke components.
Aston Martin is also in excellent shape for selling: although its production goals are set at a mere 5,000 units for 2006, the brand is turning a profit. Its product range is also fresh, cutting-edge and attractive, which should help lure in potential buyers and raise an estimated $1 billion to sustain its other divisions.
British magazine Car has speculated that there are already two companies interested in purchasing Aston Martin, both which have no previous experience in the automotive business. Swiss-based Richemont, known for its Cartier watches and jewelry, and Franceââ¬â¢s LVMH, owner of Louis Vuitton and Fendi, are two names that surfaced, either of which could potentially pony up the asking price.
There is also the possibility that current CEO and Chairman of Aston Martin, Dr. Ulrich Bez might buy Aston Martin out, which would allow the brand to continue on its current path. Bezââ¬â¢ leadership over the past few years has given the legendary marque the ability to succeed on the road and on the track, revitalizing the sports car firm into a profitable business.