Geely Volvo Deal May Be Announced Today

With all the excitement surrounding Volvo's countrymen Saab, the fate of Ford's division in Europe has somehow slipped in the background. Yet, apparently, things are moving along and, according to some sources cited by Bloomberg, Ford will announce a sale as soon as today.

The rumor pushes the deadline when the deal was expected to be concluded some two months ahead. Last week, the deal was seen as done by February 14.

"The Volvo deal sees no more hurdles," a source said at the time. "It is expected to be done before Chinese New Year, and then Geely will quickly launch integration."

Still, there are some who feel Ford may be looking elsewhere for a buyer. The main issue, as with any deal involving a Chinese party, is that of intellectual property rights.

“Ford has integrated Volvo into their platforms and a lot of technology, like safety technology,” John Wolkonowicz, IHS Global Insight ana;lyst told Bloomberg. “Why prop up China with your technology when you know they’re going to become a major competitor someday?”

Well, that's not exactly how Ford, apparently, sees the problem. In the end of November, a Geely spokesman announced they have agreed on the intellectual rights concerning the Volvo deal.

According to the same spokesman, when the sale will be finalized, the Chinese will get their hands on all of the technologies developed by the Swedish car manufacturer. The agreement also states that Volvo will continue to have access to all Ford technologies crucial to future development of the brand, including safety and environmental protection.