LONDON (Reuters) – German car and trucks maker Daimler (DAIGn.DE) is working on a corporate holding structure which could be ready by the company’s annual general meeting on April 5, 2019, Manager Magazin said on Thursday.
The magazine said Chief Executive Dieter Zetsche and Chief Financial Officer Bodo Uebber have made a preliminary plan to split the company into three separate entities, a process which would unlock the value of the individual businesses.
Mercedes-Benz cars and vans, Mercedes-Benz trucks and buses, and Mercedes-Benz financial services will separated, the magazine said, adding that new mobility services such as ride-hailing will be added to the financial services arm.
Bodo Uebber may end up as head of the corporate holding structure, given that Dieter Zetsche is close to retirement, Manager Magazin said.
When asked about the 2019 date for presenting a new company structure, the company told Reuters: “Daimler is continually reviewing its optimal strategic positioning and structural set up so that it can respond to a changing competitive landscape and market.”
In July, Daimler said it might split parts of its business into separate legal entities in a strategy overhaul.
Legally separating the divisions may allow for a partial listing, a way to raise funds to invest in new services such as autonomous and electric cars.
Analysts at Evercore ISI earlier this month said separating Daimler’s divisions could unlock value, with trucks and buses on their own worth 31 billion euros ($36 billion). The German company’s total market capitalization is around 64.8 billion euros, according to Thomson Reuters data.
Reporting by Edward Taylor. Editing by Jane Merriman