Tengzhong inks deal to buy General Motors' Hummer brand

Sichuan Tengzhong Heavy Industrial Machinery Tengzhong on Friday signed an agreement to buy General Motors' Hummer brand.

China-based Tengzhong will buy the Hummer brand, trademark and trade names, as well as specific intellectual property IP license rights necessary for the manufacturing of Hummer vehicles. It will also take on the existing agreements related to Hummer's dealer network. The parties did not disclose the financial terms of the deal but media in the US have speculated that Tengzhong is paying $150 million for the deal.

Tengzhong will enter a contract with GM for vehicle manufacturing, key components and business services until June 2011, with an option to extend the contract by one year. GM said the...