Vickers Plc agreed Wednesday to sell Rolls-Royce Motor Cars Ltd. to BMW AG for $560 million, although Volkswagen AG, the losing bidder, pledged an even higher bid for the luxury British carmaker.
Vickers said that it signed a contract with BMW after reaching preliminary accord on the sale price last month, when it chose BMW over its German rival Volkswagen and a group of car enthusiasts eager to keep the prestigious brand in British hands.
Vickers dismissed Volkswagen’s promise to top BMW’s offer as a last-minute spoiling tactic. The sale is subject to shareholder approval at a meeting in June, and analysts said they’re unlikely to forgo the secure sale to BMW.
“It’s getting messy for VW to come in,” said Daniel Bevan of Credit Lyonnais Securities. VW has little chance to buy Rolls unless it offers more than $667 million, he said.
