BMW, Daimler Mobility Merger Delayed
The planned merger of BMW and Daimler’s mobility businesses has been delayed as the companies await review by U.S. antitrust authorities.
The partners, which received approval from the European Commission in November, had hoped to complete the deal by year-end. Daimler now expects to do so early next year and has adjusted its earnings forecasts for 2018 and 2019 to reflect the delay.
The proposed 50:50 venture would include various car-sharing, ride-hailing, parking, electric vehicle charging and multi-modal services. This includes combining Daimler’s Car2Go businesses with BMW’s DriveNow services that operate a combined 20,000 cars in 31 cities in China, Europe and North America.
The companies reportedly won EC approval after agreeing to adjust their operations in six cities where the commission said the merger would otherwise raise competitive concerns with rival services.
Volkswagen AG has created a new Canadian subsidiary to deploy a network of public charging stations for electric vehicles.
Ride-hailing service Lyft Inc. has been sued by a former Georgia Institute of Technology engineering professor for infringing upon his patented ride-sharing platform.
The Chinese government is targeting annual sales of electric and plug-in cars at 7 million units by 2025—nine times last year’s volume.