China's state-owned Dongfeng Motor Co.'s (0489.HK) move to take
a stake in French auto maker PSA Peugeot Citroen SA (UG.FR) isn't
an invasion, nor a takeover, the chief executive of the Chinese
company says in an interview in French daily Le Figaro.
"I want to reassure French investors, employees and French
people in general: the Chinese dragon isn't going to eat the French
lion," Mr. Zhu Fushou says in the interview, adding it is neither
an "invasion," nor a takeover.
Still, Mr. Zhu says Dongfeng will participate in management in
order to change the structure of the market.
"Dongfeng will take on more responsibilities and will respond to
the cash needs of [Peugeot]," Mr. Zhu says. "We are bringing big
support to Peugeot in the context of its current difficulties.
Dongfeng is ready to share the risks," he adds.
The deal for Dongfeng and the French state to take a 14% stake
each in Peugeot is set to be signed March 26 when Chinese President
Xi Jinping visits France.
Newspaper Web site: http://www.lefigaro.fr
-Write to William Horobin at william.horobin@wsj.com
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