Daimler AG will be renamed Mercedes-Benz Group AG Starting this Tuesday, February 1. In this way, the German company will take the name of its main brand and for which it is best known throughout the world. The announcement had materialized last year, and it is concrete now.
The change occurs almost 12 months after the announcement of the spin-off of its truck and bus division (Daimler Truck), a strategic decision with which the company seeks to improve the value of the shares of the company specializing in luxury automobiles.
The new company name is part of a series of far-reaching changes taking place within Daimler (hereafter Mercedes-Benz Group AG).
Evolution of Mercedes-Benz AG (former Daimler AG)
The German manufacturer was born in 1926 as Daimler-Benz AG, after the merger between Daimler Motor Company and a specialist vehicle engineering company called Benz&Cie.
The Mercedes brand began to be used officially in 1902 by Daimler. It was the name of the daughter of one of the founding businessmen of that firm.
“The objective is to release the brand value potential of the company,” Ola Kaellenius explained to the media this Friday, January 28. The company has a valuation of just over 77 billion euros, about 85,000 million dollars.
Following the announcement, shares in Daimler Truck AG, a company spun off from the newly renamed Mercedes-Benz AG, rose slightly to trade at 32.20 euros on Friday.
Shares of Mercedes-Benz, meanwhile, rose to their highest values of 2015 after the separation of the truck division was announced in early 2021.
The objective of the separation is to give the investors of each of the companies a “purer” and “differentiated value” product, as explained at the time of the announcement.
Shareholders expect easily understandable product development and marketing strategies from car brands and not complex structures.
Tesla is the example to follow, with a clear marketing plan based on electrification and autonomous driving.
When asked if autonomous driving was as important for the German brand as it is for Tesla, the Mercedes-Benz leader said: “I share the opinion that there will be more attractive use cases, this market segment has significant potential. business for us in the future.”