No More Hummer; GM to shut down after bid to Sell to Chinese Company
Heavy equipment maker Sichuan Tengzhong Heavy Industrial Machines Co. pulled out of the deal for
GM said it will continue to honor existing
“We are disappointed that the deal with Tengzhong could not be completed,” said John Smith, GM vice president of corporate planning and alliances. “GM will now work closely with
GM has been trying to sell the loss-making brand for the last year and found a suitor in Tengzhong, but resistance from Chinese regulators created difficulties from the start.
As recently as Tuesday, private investors were trying to set up an offshore entity in a last-minute effort to complete the acquisition ahead of a Feb. 28 deadline. That plan, along with other options, was unsuccessful, according to a person close to the situation. The person declined to be identified in order to speak more freely.
“There’s no way forward with that,” this person said. “We’re out of time.”
The H3, the most fuel-efficient vehicle in
GM is focusing its efforts on its four remaining brands: Chevrolet, GMC, Cadillac and Buick.