Volkswagen Group denies possible bid for Paccar

Article by Christian A., on July 6, 2014

Volkswagen Group clarified that has no interest in bidding for American truck-maker Paccar. Analysts have been expecting VW to enter the United States trucks market, either through an acquisition of Paccar or of Navistar International, to be able to compete against current global leaders Daimler and Volvo.

 In a Bernstein Research note published recently, Daimler's commercial vehicle chief Wolfgang Bernhard disclosed that he was informed by "serious, multiple sources" that VW is planning to bid for Paccar in 2015. A VW spokesman dismissed the speculations, calling them "complete rubbish."

According to Daimler spokesman Florian Martens, Bernhard had been asked about consolidation among truck makers, and answered that VW’s interest in Paccar was a widely discussed topic in the industry.

VW Group recently sold EUR2 billion ($2.7 billion) in preferred stock to help finance the takeover of Scania. VW is integrating Scania with MAN and its own commercial-vehicle operations to create a truck division that will rival that of Daimler’s.

VW, however, lacks a presence in North America, since MAN and Scania are both focused on Europe – making a Paccar acquisition logical. Paccar produces Kenworth and Peterbilt trucks in the US and DAF vehicles in Europe.

Bernstein Research analyst Max Warburton remarked that a VW bid for Paccar "would not be a ridiculous move,” since its current truck operations currently all non-NAFTA. He noted that a Paccar acquisition would be expensive, would require a capital increase and may upset investors.

Arndt Ellinghorst, an analyst at ISI Group in London, said in a report that VW may not retain Paccar's operations in Europe due to competition legislation. He said that CNH Industrial is seen as a potential suitor for DAF.

If you liked the article, share on:

Topics: vw

Comments

Recommended

The up-and-coming Audi E-tron GT four-door sports car is one of the electric cars that the premium carmaker has promised to deliver before 2025. But as early as now, some...
by - November 15, 2018
Magneti Marelli S.p.A., the high-end maker of automotive parts and components, will be soon own by a Japanese company. This comes as it current owner, Fiat Chrysler Automobiles has inked...
by - November 15, 2018
It has already been months since Czech carmaker Skoda unveiled the comprehensively refreshed – both in terms of design and engineering -- Fabia hatchback. Now, the car company will be...
by - November 14, 2018
After VIN registrations revealed months ago that Porsche was planning a new 718 Cayman T, new details have surfaced that about the hardcore model. According to a report by Auto...
by - November 14, 2018
After confirming in 2017 that its midsize pickup would be coming back to the United States, Ford took the wraps off the 2019 Ranger early last year. It featured an...
by - November 14, 2018