China's leading automaker SAIC Motor Corp confirmed Thursday it had agreed to buy a stake in General Motors, as the US auto giant prepared for one of the largest stock offerings in history.SAIC said its wholly owned unit SAIC Motor HK Investment Ltd had acquired 15.2 million ordinary shares for 500 million dollars, accounting for just under one percent of GM's total equity.The unit paid 33 dollars per share and would raise all the capital from the Hong Kong financial market, SAIC said in the statement.
This year saw a lot of changes. One of the most outstanding is that 2015 is the first year in which the US is no longer the world’s biggest economy in the world in terms of GDP (Purchasing Power Parity) ; China has overtaken to rule the world.
So it shall come as no surprise that the car manufacturing industry in China is also the largest in the world, in fact it has been since 2008. In 2009, the annual production of automobiles in China exceeded that of both the United States and Japan combined.
China's leading automaker SAIC Motor Corp has agreed in principle to buy a minority stake in General Motors at the US auto giant's initial public offering, state media reported Monday.SAIC, which has two vehicle production joint ventures with GM in China, may buy about one percent of GM for around 500 million dollars, the China Securities Journal reported, citing unnamed sources.SAIC president Chen Hong left for the United states last week to finalise details of the deal, the report said.
Billionaire Jack Ma is taking the challenge to Apple Inc. and Google by pushing Alibaba Group Holding Ltd. into the car business, joining the global battle to control the automobile dashboard. The Chinese e-commerce company's YunOS operating system, which connects phones, tablets and smart watches, is now on its way into car dashboards, touch screens and advanced rear-view mirrors. Alibaba showcased its OS'Car technology in an SAIC Motor Corp.