The sale of Hummer to Sichuan Tengzhong had failed to prosper but reports are now saying that General Motors Co. is eyeing two separate offers for the brand.
According to the Wall Street Journal, the two companies being considered have actually made their bids earlier but had been rejected to favor the Sichuan Tengzhong deal. Insiders say that GM is reviewing the previous bids.
Although it has not been announced who these two bidders are, speculations abound that one is a private equity firm since several such organizations were interested in the brand when bidding started in 2009.
The legal difficulties that Tengzhong faced during the purchase process make it unlikely that either bidder is a Chinese firm.
There were reports claiming that one leading bidder was located in the U.S, while the other was a foreign firm. Chances of the brand being saved are uncertain. If we look at similar dealings, Saturn was terminated after a deal to sell the brand to Roger Penske fell through.
On the other hand, Saab, which was very close to being ended after Koenigsegg reneged on its purchase agreement, was scooped up by Spyker Cars N.V.
In the event that GM won't be able to find a buyer for the Hummer line, the brand will continue to be wound down. [via wallstreetjournal]