Nanjing Automotive acquires MG Rover

Nanjing Automotive acquires MG Rover

It is finally confirmed that the Chinese Auto Major Nanjing Automotive has been given the go ahead to buy the MG Rover brand. The financial details are not yet been declared. The decision was taking after many months of discussions with the three parties interested in the bidding process. Shanghai Automotive was the other Chinese auto major involved in the battle for the ownership of the legendry British brand.

Shanghai Automotive was the smallest company in the bidding process but they managed to impress the administrators PriceWaterhouseCoopers with their future plans for the company. The news would come as a disappointment to the UK businessman David James who was interested in keeping the brand in UK itself. He had put in two bids for the auto company through its Kimber group. Nanjing is a state owned auto company and is the older car manufacturer in the Chinese market.

PricewaterhouseCoopers was working on selling the auto brand since MG Rover ran out of all the money and collapsed in April this year. They had earlier confirmed that Nanjing was interested in acquiring all of the car and engine production assets of both MG Rover and its engine firm Powertrain. The process got complicated when Shanghai Automotive came up with a fresh bid.

Nanjing has now plans to restart the production of the MG Rover brand in the West Midlands. However, they might also look into other locations to make sure that they can get the production back on track. Reviving the production and getting it back to profitability is the prime concern for Nanjing for now.