Daimler to split into two companies

Daimler has announced plans to split itself into two independent companies by spinning off its truck and bus division as Daimler Truck and eventually renaming Daimler as Mercedes-Benz, the brand name under which it sells luxury cars.

“Mercedes-Benz Cars & Vans and Daimler Trucks & Buses are different businesses with specific customer groups, technology paths, and capital needs,” said Ola Källenius, chairman of the board of management of Daimler and Mercedes-Benz. “Both companies operate in industries that are facing major technological and structural changes. Given this context, we believe they will be able to operate most effectively as independent entities, equipped with strong net liquidity and free from the constraints of a conglomerate structure.”