Luxury car maker Rolls-Royce is set to embark on a "seminal moment" in its history by launching its first sports utility vehicle (SUV).
The British company revealed that it will be creating a car that offers "the luxury of a Rolls-Royce in a vehicle that can cross any terrain". It is a departure from the traditional cars which have rolled off the firm's production line but highlights a company which is willing to expand its horizons into different markets.
Rolls-Royce currently makes three cars – the Phantom sedan, the Wraith fastback and the slightly smaller Ghost. The creation of an SUV will allow it to compete with other major luxury car makers such as Porsche, Mercedes and Bentley, the latter recently announced the launch of its own SUV – the Bentayga.
The BMW-owned firm did not release any information about the vehicle or even when it will go into production.
However, chief executive Torsten Muller-Otvos said in a statement: "This car will embody all the values and capabilities that drove our two founding fathers to secure Rolls-Royce’s reputation, early last century, by taking top honours in rigorous overland adventures such as the Scottish Reliability Trials, the London to Edinburgh event and the Alpine Trials."
Rolls-Royce increasing sales
Rolls-Royce's announcement that it will be branching into the SUV market comes after the company reported a 12 per cent rise in sales during 2014. The luxury car makers said that it had sold 4,063 vehicles during the past 12 months managed it hit record figures for the fifth year in a row.
North America now accounts for the firm's top regional figures with the US seeing a 40 per cent boost in sales during the period. Other nations such as China, United Arab Emirates, the UK and Saudi Arabia make up the remainder of Rolls-Royce's five largest markets.
StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.