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Rover, Forthcoming Ford Possession


Ford Motor Company has expressed its willingness to exercise its right of first refusal and grab the opportunity to own the Rover brand name, which was owned by the German auto giant Ė BMW. This statement was released last Monday by Said Deep, Fordís spokesperson.

Deep noted, "We feel it is in the interests of our Land Rover business to have the Rover brand. We are acquiring it and we're not looking to sell it. We're not ready to say what we plan to do with the Rover name. We believe it is a valuable asset for us."

Deep added that the desire to buy Rover brand name was already communicated to BMW last Monday. Nonetheless, the spokesperson did not divulge any financial details regarding the potential sales transaction. On the other hand, BMW has not released any comment regarding the matter.

It can be recalled that Ford has purchased the brand name Land Rover from BMW in the year 2000. Ford bought the Land Rover luxury truck division hence, the former still has the right of first refusal over the brand name. However, Ford is only given 90 days to exercise such right of refusal.

Last month, BMW has divulged that it had agreed to sell Rover to an unnamed partner. This unnamed partner is rumored to be China's Shanghai Automotive Industry Corporation (SAIC). The design rights of 2 Rover models - the 25 and the 75, are attributed to SAIC.

According to Chinese media news, SAIC, which is a renowned Chinese car maker and a partner of General Motors Corporation, had agreed to purchase said brand name. Said automaker is aiming to own Land Rover for the purpose of expanding its market to include the Europeans. It was also reported that said automaker is willing to pay 11 million British pounds or .7 million for the Rover brand name.

Ford and SAIC is said to be eyeing on the advantage that they are about to seize when Rover becomes one of their possessions. Roverís Defender, Discovery, Freelander, Range Rover as well as Rover Universal parts and vehicles have already established good market and sales figures. Thus, ownership of the brand name redounds to greater edge.


About the Author: Carol Mitchel is an executive assistant in one of the leading automotive magazine in Los Angeles, California. She is a certified car lover and loves extreme sports.




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