Categories: Europe

Daimler to maintain 35% stake in vehicles spin-off as separation nears

FRANKFURT — Daimler will maintain a 35 % stake within the vehicles division that it plans to spin off later this yr, the automaker mentioned, unveiling extra particulars in regards to the landmark company break up introduced earlier this yr.

The spinoff of Daimler Truck Holding  as a separate listed entity can be voted on by Daimler shareholders at a unprecedented common assembly on Oct. 1. They’ll obtain one share within the vehicles division for each two Daimler shares.

Daimler, in flip, can be renamed Mercedes-Benz Group to mirror its concentrate on the automobile and van enterprise together with the Mercedes-Benz model.

“Daimler’s realignment makes one success story into two,” Daimler CEO Ola Kallenius mentioned in an announcement on Friday.

“With this brave step into a brand new future, we’re creating added worth with two pure-play firms for our prospects, workers, shareholders and companions,” Kallenius mentioned.

Daimler will present Daimler Truck Holding with web liquidity of 5 billion euros ($5.94 billion) till the tip of the yr, when the truckmaker’s shares are anticipated to start out buying and selling, in order that it may obtain an investment-grade score.

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