In a long-speculated move, Volkswagen's global truck and bus subsidiary, Traton, has made an unsolicited bid to acquire the rest of Navistar for $35 a share.
Commercial vehicle manufacturers Traton Group and Hino Motors have established a procurement joint venture to maximize the global procurement synergies between the two companies.
At an Innovation Day event in Sweden, Traton Group outlined the company's plans to share technology between its divisions and invest in electromobility.
The initial public offering of Traton SE, formerly known as Volkswagen Truck & Bus, did not go off with a bang. The Germany-based global truck builder slipped below its opening share price soon after being listed on the Frankfurt exchange.
Navistar announced a $125 million investment in its Huntsville, Alabama, engine plant as part of a plan to begin producing next-generation big-bore diesel engines developed with its European partner, Traton, in the future.
Volkswagen's new global truck and bus business unit Traton and Navistar both announced major business initiatives with long-term implications. Are these moves setting the stage for something even bigger coming down the pike?
Volkswagen AG announced on May 13 that it is resuming preparations for an initial public offering of Traton SE, with progress to be made “depending on further developments on capital markets.”
Volkswagen has announced plans to postpone an initial public offering of the company’s trucking group Traton, formerly Volkswagen Truck & Bus, due to uncertain market conditions.
Traton SE has announced that it “maintained its growth path” last year, achieving a vehicle sales increase of 14% by delivering a record 233,000 commercial vehicles across its MAN, Scania, and Volkswagen Caminhões e Ônibus brands.
Navistar CEO Troy Clarke touted benefits of the company’s deal with Traton Group, noting for example that it has gained more purchasing power.