Peugeot posts $4b loss as it ties up with China's Dongfeng
PARIS (AFP) - Peugeot Citroen halved losses last year, the car giant announced on Wednesday along with a shareholder tie-up with China's Dongfeng and the French state ending one of France's oldest industrial dynasties.
The shareholder deal, tied up late on Tuesday, means that Peugeot Citroen will raise at least 3.0 billion euros (S$5.2 billion) of new capital with the issue of new shares.
The stricken group, counting on the Chinese market and new hybrid compressed-air technology, revealed the biggest steps so far in its strategy to climb out of a crisis which brought it close to disaster.
Net losses last year still amounted to 2.3 billion euros, but that was less than half the figure of 5.0 billion euros in 2012.