GM’s embattled Hummer brand has yet to find a new home, and the list of candidates to take ownership of the brand has just shrunk further.
General Motors has reportedly been shopping around for a potential new owner for its Hummer brand for some time. The search now looks no closer to ending with the recent announcement of failed talks with China’s Changfeng and a statement of disinterest by India’s Mahindra & Mahindra.
Contrary to earlier indications, Mahindra & Mahindra has strongly stated that it is not interested in procuring the Hummer brand.
In a report published in , the company’s vice-chairman, Anand Mahindra, clarified the firm’s position on the matter saying, “There has been a lot of speculation. I want to say categorically we are not pursuing Hummer,” he said. The company is currently pursuing an environmentally-conscious image for its products, and feels the Hummer brand would damage that.”
The financial aspects of the deal are reportedly steered Changfeng clear of acquiring the U.S brand, with GM appearing to want more for the marque than it is willing to pay. The Chinese company also stated that it sees no future for the brand under its ownership. reported that other factors, such as difficulties in marketing the vehicle in the U.S., Russia, India and China, as well as the great expense involved in producing the vehicle for military use outweigh any potential the brand might have for profit.
The issue of rising oil prices have also played a strong part in extinguishing Changfeng’s initial interest in the Hummer brand.
Unless GM decides to change tack and heavily re-develop Hummer’s image, it appears the only way it will offload the brand is at a hefty loss. Rumors of possible interest from India’s Tata Motors still persist, but given the current economic climate it appears that the likes of thirsty SUVs are in for a torrid time.