Zhongsheng acquires a 70 percent stake in Carlsson

Article by Christian Andrei, on June 1, 2012

As we may know already, Chinese companies are becoming more and more powerful because they have lots of money, right? It seems that Carlsson, the well-known German tuning company specialized in tuning Mercedes-Benz cars, knows this as it sold a 70 percent stake to Zhongsheng Group Holdings, a major Chinese auto retailer.

Just like Pangda Automobile Trade a.k.a. the company that tried to buy Saab, Zhongsheng Group Holdings wants to diversify its offerings in order to gain market share as the new millionaires in China want to spend more money on luxury cars.

According to Zhongsheng's chairman, Huang Yi, the company is working on an aggressive plan for Carlsson and a main advantage will be its vast network of dealers stretching from Heilongjiang province in the north to Guangdong in the south.

According to Reuters, Huang Yi declined to tell the press what sum of money it paid for a stake in Carlsson. Huang also said that Zhongsheng sold 300 million yuan ($47 million) worth of accessories last year, which means that Carlsson will be the perfect company to boost its sales even further.

According to Huang, many of the Mercedes-Benz, BMW and Audi cars in Changhai and Beijing feel like mainstream cars, so a company like Carlsson is expected to change these things.

And because most of Carlsson products are authorized by Mercedes-Benz, this means that the customers who will choose a body kit made by the German tuning company will also keep their car’s warranties.

Topics: carlsson

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