SAIC owns the design rights to the Rover 25 and 75 models and NAC owns Longbridge and MG. However the Rover name still belongs to Ford.
The two Chinese state owned companies announced their intentions to join forces five months ago. Hu Maoyuan, chairman of SAIC and Wang Haoliang, chairman of Yuejin signed a cooperation agreement in Beijing.
According to the cooperation agreement, the automotive businesses of NAC will be fully integrated into SAIC. Within the business units of NAC, complete vehicle and first-tied parts business will be integrated into SAIC Motor, a public listed company largely held by SAIC, and other business, related to components, service and trading will be within a newly established joint venture, Donghua Company.
The cooperation is fully supported by China's central government and the respective local governments of Shanghai, Jiangsu province and the city of Nanjing.
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