The news that Daimler is splitting into two by the end of this year had slipped past me. The goal is apparently to become a more trendy investment target, and perhaps to also be able to develop the companies, now split from one into two, more agilely. Going forward, the old listed company Daimler AG would be named Mercedes-Benz, and it would focus on passenger cars, their electrification, and sophisticated digital technology. Daimler Truck would be listed as a new public company, focusing on heavier commercial vehicles, which they also aim to electrify.
What do you think this split means for the value of current Daimler shares? Will one 75 euro share split into two 50 euro shares, or two 30 euro shares, or something else? One would think that a split is fundamentally in the interest of the company and its owners, but has the split already been priced into the stock, or perhaps even overpriced?
Having followed the EV (electric vehicle) scene, it seems that on the passenger car side, Mercedes’ electric cars and hybrids will be roughly the best money can buy in the near future. Does that mean the business is profitable? I don’t know, but can someone analyze the situation? I know absolutely nothing about the truck side; I have no idea about the competitiveness of Mercedes trucks, do they have any?
I pretty much expected this when Trucks’ operations were organized into their own company earlier. In a way, Daimler might be slightly behind others in electric cars, but in trucks, they seem to be doing quite well. The split would be interesting in that the passenger car side could be sold off, and the trucks could be kept in the portfolio. The Chinese own a large stake in Daimler, after all.
In trucks, the problem in Finland is that the market is practically divided between two brands, and we don’t really look at other markets. However, Daimler is a very big player in trucks, even outside the EU.
This is purely my intuition; everyone can check the facts themselves online.
Perhaps there’s no point in waiting for it to be listed on a public holiday. After all, trading with that particular paper isn’t done on Sundays, so there’s little reason to rush it into the “paper” portfolio on a Sunday, other than for a restless investor’s peace of mind?
Yes, I mean, on Friday, when trading began on the DAX, the stock should have already been visible in Nordea so that trading could have taken place. It’s already possible in Nordnet.
(P.S. no trading happens on a public holiday, but I guess one can still ask about it on the forum on a public holiday so they don’t have to wait for a weekday)
Daimler Truck is traded on the stock exchange, but the shares are not visible in my book-entry account. Nasdaq says:
“Post Daimler’s split, shareholders will hold a 65% stake in the new Daimler Truck Holding AG, which will be listed on the stock exchange as an independent company. The existing Daimler shareholders will receive one Daimler Truck share for every two Daimler shares they own.”
I wonder if there’s still some settlement period ongoing, or if I’ve been forgotten from the list of Daimler Truck owners, as the shares don’t show up anywhere? Who is trading these shares if we, the owners, cannot?
Well, now it finally appeared in Nordnet, at least in light gray. Maybe I’ll just keep it light gray, it’s a more timeless and elegant color than red.
Following the production launch of the battery-powered eActros at the Wörth am Rhein plant in October, Mercedes-Benz Trucks has already booked the first major order for 120 of the vehicles.
It would be nice to know what the profit margin (%) is on these, have these figures been published in any report, or is this still small-scale production?
It’s unlikely we’ll get a breakdown of the margins yet, but those 120 ordered trucks cost €300,000 each. So, essentially, triple the price of a comparable diesel truck!
It should have just stayed light gray, now it’s shining bright red in Nordnet, gray would have been nicer. But I guess the color of the Santa Claus rally is Christmas red.
It’s interesting that the largest order for electric trucks came from Sweden, where people are nevertheless proud (rightly so!) of their own automotive industry, and probably for principled reasons want to choose Swedish cars when possible.
I have strong faith not only in Mercedes’ electric trucks, but also in Mercedes’ electric passenger cars. I’ve been driving an electric car for a year now, and I’ve been following the electric car market quite a bit, testing and considering switching my second car from diesel to electric or electric hybrid, and Mercedes’ features have really appealed to me. Mercedes hybrids have long electric ranges, wonderfully functional, ergonomic systems and fast charging, simply the best hybrids in my opinion. And they are also among the top contenders in all-electric cars. Strong hold, when I’m out of money and can’t buy more. Brand appreciation in China is at a high level, and I would be surprised if the world had now permanently changed so that purchasing power would no longer be found there, and China is investing a lot in the electrification of transport.
Mercedes has now brought an electric taxi to China, but I’m a bit curious to see how far they can get with that “brand.” Well, time will tell how Mercedes’ pricing fares in the world’s largest car market . Let’s hope for the best, but now I must say that we also fear the worst.
And I just have to say that at least I’m not really impressed by the appearance of the new S-Class… somehow it reminds me of an old Passat
Yesterday, December 20th, I received a notice/assignment from Nordea in the mail. It seems I need to convert Daimler Truck Holding’s “merkkari” (subscription rights/shares) into shares, if I understood correctly. Please correct me if I’m wrong.
Where can I find information on the distribution of net assets in the Daimler spin-off? What percentage went to Mercedes-Benz and how much to Daimler Truck? I need this information for my tax return.
. Let’s hope for the best, but now I must say that we also fear the worst.