Hummer's Days Are Numbered
DETROIT (
) --
General Motors
will wind down its Hummer operations after
Sichuan Tengzhong Heavy Industrial Machines
was unable to complete the acquisition.
"One year ago, General Motors announced that we were going to divest Hummer, as part of focusing our efforts on Chevrolet, Buick, GMC and Cadillac going forward. We have since considered a number of possibilities for Hummer along the way, and we are disappointed that the deal with Tengzhong could not be completed," said John Smith, GM vice president of corporate planning and alliances, in a statement.
GM said it will continue to honor existing Hummer warranties.
Tengzhong said it applied for approval of the acquisition, but Chinese regulators said they never received an application.
TheStreet Recommends
reached a definitive agreement in October for Tengzhong to acquire the Hummer brand. The deal was subject to regulatory approval in both the U.S. and China.
GM spokesman Nick Richards told the
Associated Press
that the automaker would still hear last-minute bids for the brand.
"In the early phases of the wind-down, we'll entertain offers and determine their viability, but that will have to happen in pretty short order," he said.
AP
reports that as recently as Tuesday private investors unsuccessfully tried to set up an offshore entity to complete the acquisition ahead of a Feb. 28 deadline.
Follow TheStreet.com on
and become a fan on
