Daimler Shares Jump on Abu Dhabi Cash Injection

March 23, 2009
Abu Dhabi state investment fund Aabar Investments will invest $2.65 billion

After Daimler revealed that a UAE investment would would become its biggest shareholder,shares in the German auto and truck maker leapt higher in early trading on March 23.

Daimler shares showed a gain of 6.26% to 22.67 euros on the Frankfurt stock exchange, while the DAX index of German blue-chips was up by 1.89% overall, as investors welcomed prospects for a stronger balance sheet.

Daimler, which makes Mercedes-Benz cars and is the world's leading heavy truck manufacturer, said on March 22 that the Abu Dhabi state investment fund Aabar Investments, would invest 1.95 billion euros (US$2.65 billion) in the company.

Aabar Investments would subscribe to new new shares issued by Daimler and take a 9.1% stake, making it the single biggest shareholder.

Copyright Agence France-Presse, 2009

Sponsored Recommendations

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!