The iconic Ambassador, in production from 1958 to 2014.
The PSA Group has purchased the naming Ambassador for 12 million dollars, about 11.27 million euros. This includes your own name and all trademarks associated with the same. The Ambassador was a model that manufactured Hindustan Motors of India since 1958 and whose production ceased recently, in 2014.
This was the oldest model in production from India and was based on the Morris Oxford Series III, that ceased to be manufactured in the United Kingdom in 1959. During these years, close to 6 decades, had become an icon of the roads of India, however, recently had to stop producing due to numerous problems.
According to the own statements of the leaders of Hindustan Motors, the demand for the model had fallen considerably, of 24,000 copies per year in the decade of the eighties to only about 6,000 once you reach the TWENTY-first century. Finally, the factory in Uttarpara, only produced about 5 specimens per day.
The plant Uttarpara in an image file.
The abrupt decrease of the demand amounted, according to official statements of the company in 2014, a “very low productivity, growing indiscipline, critical shortage of funds, lack of demand for its core product … and large accumulation of liabilities”.
According to Hindustan, the 12 million obtained in this sale will be destined to pay workers and creditors. Although the question remains the same, what will be the reason of this purchase on the part of PSA.
The French group has recently formed an alliance with CK Birla Group, the parent company of Hindustan Motors to manufacture cars in India, so they may try to take advantage of the excellent positioning of the brand for their new venture in that country. However, some analysts are already predict that this denomination could be used as a brand new low cost PSA, in the style of Dacia to Renault.
it is Not likely that PSA reediting the Ambassador classic, but it does use your name.
Although this possibility is rather remote. The indian market is to the upside and is yet to explode. In the USA and Europe there are about 800 or 700 cars per 1,000 inhabitants respectively, while in India there are only 22 per 1,000 inhabitants. Very low numbers in comparison even with China, where we found about 150 per 1,000 people.
Taking into account the vast amount of inhabitants of India,
1,250 million people, become a market of hundreds of
millions of potential customers and they all know very well the
denomination Ambassador. Good move on the part of PSA.