Talks between BMW and Alchemy collapse!

[Chancer]

I was just taking a look at the news here on eForecourt and noticed that the talks between BMW and Alchemy have collapsed. So where do they go now? Will the Rover management buyout succeed? Maybe its BMW playing its card right as it looks like the alternative bid by the Phoenix consortium will be better for the Rover workers with less layoffs planned. A coy move on BMW’s behalf perhaps?

[Tony]

I reckon that in the long term, the Alchemy bid sounds the worst short term. They would have introduced major redundancies and major changes at the Rover factory. All this was giving the workers and British public bad vibes. On the other hand, the Phoenix consortium promise to take a more friendly approach. They won't cut as many jobs and appear to be better suited when it comes to public relations. IMO though, its this type of takeover that's doomed to fail. To turn this heavy loss maker around, radical, hard hitting and controversial policies will be required. If Phoenix take over, I don't see Rover lasting another five years.