In an attempt to get more favourable access to capital from the
German central bank, luxury vehicle manufacturer BMW is looking to
secure a banking licence for its financial arm, sources said.
The sources, close to the company, told
German business daily Handelsblatt that a partnership with the
banking arm of Daimler has already been rejected, adding that there
were no further plans for cooperation with other banks.
Securing a banking licence would enable
BMW to access funds at favourable rates of around 1 percent.
It is understood that BMW and Daimler
each have to refinance over €20 billion (£17.5 billion) per year on
the capital markets in order to keep their leasing businesses
Meanwhile, the German government’s
bailout fund Soffin has rejected bids for funding injections from
GMAC, which sought €5 billion, and VW Bank, which asked for €2
billion, reportedly because it could not be sure that the funds
would not go towards propping up the finance houses’ manufacturer