Abu Dhabi based Aabar investment group is extending its partnership with Daimler AG as they acquire 40 percent of the German firm’s shares in Tesla Motors Company. It all started by Aabar becoming a major shareholder of Daimler back in March, and then Daimler bought 10 percent of Tesla, and now they are selling 40 percent of that to the Arabs.
Sheikh Khadem Al Qubaisi, chairman of Aabar points out that “We are delighted to be working with Daimler and continue to be excited by the potential for further projects that meet our joint strategic objectives.” by which he means development of electric vehicles and projects aiming at the reduction of CO2-emissions. Which is a bit odd to be honest! because as far as we know Arabs are huge fans of big shiny gas guzzlers! Now their interest in electric cars, can be a major change in their car culture.
Press release
Stuttgart – Daimler AG (stock-exchange abbreviation DAI) and its new major shareholder Aabar Investments PJSC (Aabar), of Abu Dhabi, have started their first joint strategic project with the sale by Daimler of 40 percent of its equity interest in Tesla Motors Inc. to Aabar. This investment allows Daimler and Aabar to leverage their shared interest in the development of low-CO2 drive systems.
On May 19, 2009, Daimler AG acquired an equity interest of just under ten percent in Tesla Motors Inc., a leading producer of electric vehicles. Already at that time, Daimler and Aabar both wanted to invest jointly in Tesla. After the clarification of contractual details, this plan can now be implemented.
Tesla is currently the only automobile producer marketing electric vehicles that are capable of operating over long distances in North America and Europe. The two companies have already agreed to cooperate on the integration of Tesla’s lithium-ion battery packs and charging electronics into the first 1,000 units of Daimler’s electric smart car. In order to benefit from each other’s know-how, the agreement reached in May will enable the two companies to collaborate even more closely on the development of battery systems, electric drive systems and individual vehicle projects.
His Excellency Khadem Al Qubaisi, Chairman of Aabar Investments PJSC, said: “When we acquired our stake in Daimler in March we identified a number of potential areas for cooperation between our two businesses. One of these was a desire to focus on the development of electric vehicles and projects aiming at the reduction of CO2-emissions. Our joint involvement with Daimler in Tesla is completely in line with this strategy, and marks an important step in the continuing development of our partnership.”
“We are delighted to be working with Daimler and continue to be excited by the potential for further projects that meet our joint strategic objectives.”
Dr. Dieter Zetsche, CEO of Daimler AG: “We are pleased that Aabar is supporting us with the development of battery systems and electric power trains, accelerating the worldwide commercialization of electric vehicles.”
On March 22 of this year, Aabar acquired 9.1 percent of the share capital of Daimler AG. In connection with Aabar’s entry as a major Daimler shareholder, the two companies issued a letter of intent stating that in addition to the equity investment, other joint strategic projects would be initiated, involving electric vehicles for example.
