If Volkswagen Seeks A Takeover, Suzuki Would Refuse


Although many analysts expect Volkswagen to ultimately absorb Japan’s Suzuki Motor Corporation as its 12th brand, it seems Suzuki won’t become a wholly owned VW subsidiary without a fight.

Automotive News reports that Suzuki CEO Osamu Suzuki says he would hesitate on giving Volkswagen any further stake in his company -- although he expects VW to come courting.

“When Suzuki becomes a bigger company,” said Suzuki, “VW will probably want to buy more of our shares. If that happens, Suzuki will probably respond by saying ‘Let’s continue as we are.’”

Currently, Volkswagen holds a 19.9-percent stake in Suzuki. In what's billed as an “equal partnership,” Suzuki is expected to tap into Volkswagen’s alternative powertrain development, while Volkswagen benefits in Suzuki’s expertise in small, inexpensive cars.

Although VW could ultimately launch a takeover bid -- as it did with Porsche -- late in the game, Suzuki doesn’t expect that to happen, saying he doesn’t expect “an altercation” over the size of the stake.

Source: Automotive News

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