By August 2008, the situation was getting desperate. The Detroit Three were burning through billions every month. GM and Chrysler were running out of time. Chrysler's new owner, Cerberus Capital Management, was a New York private-equity firm named for the three-headed hellhound in Greek mythology that guards the gates of the underworld. In its first -- and last -- foray into automaking, Cerberus was feeling the heat of a hell of its own creation. It was looking for an exit strategy.
After soaring in the 1990s, the Grand Cherokee came crashing to earth in the new century. Car buyers began steering clear of SUVs as gasoline prices rose and Al Gore started sharing inconvenient truths about global warming. Making matters worse, the Grand Cherokee drew the flinty attention of Chrysler's finance people, who required each new model to be developed for 20 percent less than its predecessor to try to make money.
Bain Capital Partners LLC is close to securing debt financing to fund an acquisition of auto-parts maker TI Automotive after the two companies renewed talks following a disagreement over price, people with knowledge of the matter said.
Autohome Inc., a Chinese automobile information website, jumped in its first day of trading in New York, on prospects the company will benefit from growing vehicle sales in the world’s biggest new car market.
Opko Health Inc., the Tel Aviv- traded drug developer headed by billionaire Phillip Frost, tumbled the most in five years after short seller Lakewood Capital Management said the stock is “grossly overvalued.”