According to reports from Europe overnight, senior Volkswagen Group officials have admitted a deal to buy the Italian brand from owner Fiat could be on the cards.
Despite an official denial from Fiat and no official comment from Volkswagen, German industry newspaper Automobilwoche carried a quote from an unnamed "high ranking" VW executive that claimed the German firm is definitely interested in acquiring Alfa Romeo.
"Alfa is a globally recognised brand with sporty genes and a great tradition," said Automobilwoche's VW insider. "If such a treasure could be had, we must not hesitate ... too long."
Volkswagen has publically targeted toppling Toyota as the biggest car company in the world. In recent years it purchased a stake in Suzuki and Italian companies Lamborghini, while this year it acquired long-term partner Porsche as well as automotive design company Italdesign Giugiaro.
In addition to the Porsche and Lamborghini brands, VW Group also controls Audi, Skoda, Bentley, Bugatti, truck maker Scania and Spanish brand Seat. The latter was once considered the company's answer to Alfa Romeo but it has failed to make an impact outside its native market.
Despite its plethora of brands VW Group reportedly sees adding Alfa Romeo as an ideal way to further enhance its economies-of-scale and add a sporty, Latin brand to its portfolio. Earlier this year VW CEO Martin Winterkorn was reported as saying he admires Alfa Romeo.
Two former Alfa Romeo executives are now employed by Volkswagen Group, chief designer Walter de Silva and marketing boss Luca De Meo (formerly Alfa Romeo CEO).
In April this year Fiat Group CEO Sergio Marchionne revealed plans to revive the struggling Alfa Romeo brand. His ambitious plan calls for the introduction of six new models to boost sales from 100,000 last year to 500,000 by 2014.
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