New step forward by Daimler in China. The German automaker has announced it will buy a 12% stake in Baic Motor, the auto division of China's Beijing Automotive Group (BAIC), by subscribing for new shares.
In return, Daimler will have two directors on Baic Motor's board. The objective of the European company is to strengthen its position on the Chinese car market, by now the most important in the world.
It is the first time that a foreign company has entered into the capital of a Chinese car manufacturer. For its part, Baic Motor will increase its stake in the joint venture already created with Daimler and called BBAC (Beijing Benz Automotive Company) from 50% to 51%, while Daimler will increase its stake in the Beijing Mercedes-Benz commercial joint venture from 50% to 51%. Sales Service.
