GM's Hummer comes a cropper

Sichuan Tengzhong Heavy Industrial Machines failure to acquire the iconic sports utility vehicle brand Hummer from General Motors (GM) does not come as a surprise and was to be expected, said leading industry analysts.

Tengzhong yesterday said it was withdrawing its proposed acquisition of Hummer, as it was unable to complete the transaction within the proposed timeframe, virtually signaling the end of the road for the US brand.

The company and GM have decided to discontinue discussions on the transaction and terminate their definitive agreement, the Chinese firm said in an e-mailed statement yesterday.