The Stronach clan, who apparently don't have enough irons in the fire, have confirmed that they're working on securing financing to bid for Chrysler.
Yahoo!: All Canadian bid for Chrysler in the works: Magna
OTTAWA (AFP) - Auto-parts giant Magna International Inc. is wooing investment firm Onex Corp. to help it launch an all-Canadian bid for trouble US car maker Chrysler, local media said Thursday.
Given that none of the other obvious players rumored to have been interested in taking Chrysler off of Doctor Zee's hands have come through, there seems to be a fair chance that this might actually happen.
Certainly, aquiring an automaker would be a big divergence from Frank Stronach's core businesses of horse racing and antagonizing shareholders, although buying Chrysler might unlock a winning synergy with the latter.
Oh, and Stronach scion Belinda is leaving politics to rejoin the family firm. I bring it up only because she likes to see her name in the media, and I thought she could use the boost when she Googles herself this weekend (hey, we all do it!)
Thursday, April 12, 2007
It Looks Like Magna Really Is Gearing Up To Make A Play For Chrysler
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Bring on Magna! I was just at the Edmonton Auto Show last month and the Chrysler portion of the Daimler/Chrysler display totally weirded me out. My friends know I'm a car nut with a copious collection of Car and Driver and Road & Track mags going back to the 70's, plus a collection of 1:24 scale car models that is approaching 20 as soon as I get the Judge built.
As far as I'm concerned Chrysler is Satan right now - putting 60's & 70's muscle car names on 4 door sedans (for Heaven's sake is NOTHING sacred anymore?!?). I honestly felt like I needed a shower after I walked past the display. I mean it's like Victoria's Secret launching a line of thermal long-johns.
Seriously though, Onex has the bucks and the management know how and Magna has the auto industry smarts. If they can engineer the second coming of Bob Lutz (who oversaw the Viper project and the cab forward revolution in his last go 'round at Chrysler before the Germans cut in) and woo him away from GM then my hopes will be high.
I admit I'm confused as to why the German management team couldn't keep Chrysler viable. Mercedes builds the uncontested top autobahn hot rods but they turned Chrysler's products into caricatures of themselves faster than you could say, "Wanna go fer pinks?" Maybe some things are always bound to get lost in translation.
By the way, how much do you wanna bet that the gang at Magna want Belinda back so she can man the phones at the parts desk while the real brain trust buys Chrysler and tries to put it through the corporate equivalent of an episode of Chip Foose's OVERHAULIN'?
One thing about the car biz is it's usually entertaining because when it comes to cars anything worth doing is worth overdoing.
'Nuff said.
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