The odd couple Paris-Beijing wants to save French cars, but – at least for today – ends up destroying them. The unprecedented axis between the French government and the Chinese auto group D would be ready to enter Peugeot , according to press reports. And this morning the automaker's stock opened with a drop of more than 9 percentage points, before continuing with a -10,7%.
The French state and Dongfeng, Peugeot's historical partner in China, could enter the group's capital with an equal share of 25-30%, for a value of 1,5 billion euros each.
That the Chinese were one step away from entering the car company had been known for some time now. The real news is the intervention of the Paris government, which already holds 15% of Renault. The operation should take place by the end of the year.
Peugeot Citroen has confirmed talks are underway for any new industrial or commercial projects although no deal has yet been reached.
"We confirm the study of new industrial and commercial development projects with various partners, as well as the financing methods that will accompany them", reads the note released today by the group.
