MAN and Scania are still seeking closer ties and deny a report saying plans had been dropped through a lack of progress.
Analysts say Volkswagen’s plans for the two firms it controls are going slowly, suggesting a full merger, that could give the German vehicles group a stronger position in the global market, was a long way off.
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VW said there are substantial synergies between MAN, in which it holds 55.9%, and Scania, in which it has a 70% stake, as it seeks to take on market leaders Daimler and Volvo.
Swedish paper Dagens Industri reported unnamed sources as saying VW chairman Ferdinand Piech was now no longer pushing for closer cooperation as long as Scania continued to be the highly profitable business it is.
Scania said that working groups between the two truckmakers on areas of cooperation were on-going.
Areas of cooperation being looked at include axles, gearboxes, commodity purchasing and joint research on hybrid components for heavy trucks and buses.
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By GlobalDataLast November, Scania and MAN said they were investigating a possible combination of their business to realise synergies in full although little has happened since then leading analysts to believe interest has cooled.
Scania’s main markets are in Europe and Latin America, including Brazil, and it has one of the highest profitability levels in the business, with operating profit as a percentage of sales standing at 15% for the first nine months of 2011.
However, the Swedish brand has seen signs of a downturn in demand and has cut production.
VW took its stake in Scania in 2008, about two years after Scania fought off a hostile takeover by MAN.
