(October 29, 2009) Chinese automaker Geely Group Holding Co. Ford's  preferred bidder to purchase Volvo Car Corp, according to news reports.

Ford announced Wednesday that it will start more detailed negotiations with Geely, adding that no final decisions have been made.

"Ford believes Geely has the potential to be a responsible future owner of Volvo and to take the business forward while preserving its core values and the independence of the Swedish brand," Ford Chief Financial Officer Lewis Booth said in a statement.

Ford said it does not intend to retain a shareholding in Volvo but will continue to work with the automaker in several areas after a possible sale.

Ford and privately owned Geely did not disclose a possible sale price for Volvo but media reports have put it closer to $2 billion than the $6.45 billion Ford paid for Volvo in 1999.

The announcement moves the long-running sale, which began in December, closer to a conclusion. Intellectual property concerns, which last week threatened to derail any deal with Geely, may have been overcome.

But it could be months before a final agreement. Ford named Tata Motors as preferred bidder for Jaguar and Land Rover, its other top-end European brands, in January 2008 and reached a final accord in March of that year.

Ford said it will engage in "detailed and focused" negotiations with Geely, but there was no specific time line to conclude negotiations.

This sale is complicated because Volvo is closely woven into Ford's wider operations, undertaking much of the group's safety work, for example, and Ford said it would continue cooperating with Volvo.