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DaimlerChrysler To Continue With Smart
Posted on March 21, 2006 at 3:30 PM CST

green smart fortwo side view

At the time of this writing, DaimlerChrysler investors around the globe are sharing a single, fervent action.  They're praying.  Each and every one of them is lifting his/her voice to the heavens in hopes that the $730 million black hole that is the smart brand will vanish, sold to an Italian scooter company never to be heard from again.

To these investors, I bring with me grim news.

In an aritcle published today by MSNBC, it's being reported that DaimlerChrysler has ended the mandate of Goldman Sachs, the investment bank it hired last year to conduct the sale, indicating that a sale of the smart brand is unlikely.  The news comes after previous rumors that the company has fielded offers from at least two private equity groups.

Although rumors of an impending sale abounded, Zetsche has remained steadfast in his commitment to the smart brand.  In January, Zetsche told reporters that Goldman was only recruited to screen unsolicited bids, contrary to reports that several private equity groups and Piaggio, the Italian scooter maker, were approached by the bank and people from Daimler late last year.

A spokesman for DaimlerChrysler failed to comment on the latest smart intel, noting only that the company's position on the smart brand has not changed. 

And so, the saga continues.  Will Daimler sell the smart brand?  Will Batman save Robin from the evil Joker?  Stay tuned to find out.

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