GERMANY: MAN to keep HQ in Munich

By just-auto.com editorial team | 6 November 2007

MAN will keep its headquarters in Munich, even if a merger with Scania and Volkswagen takes place.

Group CEO Hakan Samuelsson laid a foundation stone for the construction of a new corporate headquarters in the city on Monday, according to dpa-AFX. He said: "We have no plans to move our headquarters to another location. We want to stay here."

The MAN headquarters will be completely renovated and expanded by the end of next year.

Samuelson would not comment on talks to merge with Scania and Volkswagen, saying that there is absolutely no deadline and therefore no time pressure.

Volkswagen is hoping to combine Scania with MAN, in which it is also the largest shareholder, and its own manufacturing operations in Brazil. MAN launched a formal takeover offer for Scania last year, but a merger of the two companies was blocked by Scania's second largest shareholder Investor, which, in support of Scania management, believes Scania's business, and particularly its operations in Sweden, would be eroded.

Volkswagen wants to include its own South American heavy truck operations in the deal. This unit recently began building RHD drive versions in South Africa.