Zhejiang Geely Holding has secured financing to buy Volvo from Ford, according to the Swedish daily newspaper Dagens Industri.

The newspaper, citing unnamed sources, said that Chinese financial institutions and regional government bodies had provided the money for Geely to complete the purchase understood to be worth SEK15bn (US$2.1bn).

It added that the money was already “in the bank account” of ZGH, parent company of Geely Autombilers.

Earlier this week, ZGH said it had yet to sign an agreement in its ongoing bid for Volvo cars, though its plan to buy the brand for $2bn was on track.

Geely is China’s largest privately owned carmaker and had planned to reach a formal deal last month and complete its purchase by May, according to a document seen by Reuters. That deal is expected now to be signed by the end of this month.

Geely plans to nearly double Volvo’s annual global production with a new factory in Beijing to pull the Swedish automaker out of the red by 2011, according to a company plan.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.