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New investor allows Suzuki to fend off VW

After years of legal wrangling, the long-soured partnership between Volkswagen and Suzuki looks finally to be coming out of arbitration, according to Bloomberg. As a sign of the Japanese brand's improved fortunes, hedge fund Third Point LLC recently bought an undisclosed stake in the company. The investor reported seeing a major opportunity in the successful Maruti Suzuki business in India. As an investment, the only major problem that Third Point found with Suzuki was its legal battle with VW. "The company's greatest asset is its low-cost manufacturing process for vehicles for the emerging market consumer," the fund said in a letter, according to Bloomberg. Third Point reportedly also wants a seat on Suzuki's board, despite being a minority shareholder. The alliance between Suzuki and VW goes back to late 2009. In the deal, the Japanese brand was meant to get access to cutting-edge tech, and the German firm got a helping hand towards better establishing itself in India and Southeast Asia. Things didn't go as planned, though. Less than two years later, Suzuki's boss publicly derided the deal. Eventually, the allegations started going back and forth, and the two have been working out a way to untangle practically ever since. Among the biggest issue has been how to get back the 19.9 percent stake that VW purchased. According to Bloomberg, the arbitration is now technically over. With the divorce nearly final, the two sides are just waiting on a decision on how to split things up. Suzuki may even just buy VW's stake to get the shares back.

Junkyard Gem: 1998 Suzuki Swift, Schnorchel Edition

To enable the use of internal-combustion engines underwater, German submarines during the later years of World War II used a pipe system swiped from the Dutch to suck in air and spit out exhaust. This rig was known as the Schnorchel, and a similar setup can be used on modern trucks to keep the engine from inhaling water or dust during river-fording or off-roading. In fact, you can buy a new Ford Bronco with a factory schnorchel (or snorkel, if you prefer the English spelling) right now. Purchasers of new Suzuki Swifts, however, had no such factory — or even aftermarket — option, and so the final owner of today's Junkyard Gem had to fabricate one using hardware-store components. Yes, this is a fully functional air-intake snorkel, made from PVC pipe and entering the engine compartment via not-so-precision holes sliced through the fender and inner fender. Once in the engine compartment, the pipe connects directly to the engine's throttle body. Sure, for serious underwater use you need to waterproof the distributor plus any sensitive electrical components, not to mention find some way to keep water from getting into transmission vents and the like. We can assume, however, that this snorkel wasn't intended for sustained underwater use. Other limitations of the Swift as an off-road machine, such as suspension design, ground clearance, and lack of four-wheel-drive, may have become apparent once the snorkel was installed. There are some wheel flares installed, to enable the use of oversized wheels and tires. The Swift is the same car as the Suzuki-built Geo Metro, which became the Chevrolet Metro starting in the 1998 model year. Known in its Japanese homeland as the Cultus, these cars were sold in every far-flung corner of the world. It appears that you could buy a new Cultus (with Margalla badges) in Pakistan as recently as a few years ago. This isn't the first interestingly modified second-generation Swift I've found in a Denver-area car graveyard in recent years. Perhaps the "Slokyo Drift" 1996 Swift was modified by the same person. There's just something about a tiny, fully depreciated car that inspires creativity. The 1998 Geo Metro was available with either a 1.0-liter three-cylinder engine or a 1.3-liter four-banger, but every new Swift sold here that year was a big-block car with the 1.3 and its 70 horsepower. This one even has the five-speed manual transmission, for added driving fun. Just 166,280 miles on the clock.

Suzuki releases another Baleno image for Frankfurt

The Suzuki Baleno is a tiny five-door that arrives in the UK next summer, but Suzuki is giving its newest model a big reveal at the 2015 Frankfurt Motor Show on Sept. 15. Until then, the soon-to-be-independent Japanese brand is continuing to tease the little guy, promising to "raise the bar for compact hatchbacks." The exterior of the Baleno adapts the iK-2 concept, and the two of them look practically identical. Under the skin, the hatchback gets Suzuki's new platform that's lighter and more rigid. Power comes from a 1.0-liter direct-injected and turbocharged engine that Suzuki calls the Boosterjet. For added propulsion, a mild hybrid layout also allows the starter to provide extra assistance. Until we can actually check the Baleno out in Frankfurt, the gallery above shows all of the teaser images for the compact, so far. SUZUKI BALENO HATCHBACK TO DEBUT AT 66TH IAA FRANKFURT MOTOR SHOW 31/08/15 Suzuki's ideal compact hatchback The all-new Baleno which will make its world premiere at the 66th IAA Frankfurt Motor Show* will raise the bar for compact hatchbacks. Since manufacturing its first car in 1955, the Suzulight, Suzuki has produced a variety of compact cars that deliver value much greater than their sizes. Developed using the company's compact car expertise, the Baleno has an elegant and powerful design, a spacious cabin and luggage space plus a host of new technologies. The new technologies include a rigid, lightweight new generation platform, highly responsive 1.0-litre direct-injection turbo BOOSTERJET engine, and SHVS (Smart Hybrid Vehicle by Suzuki) featuring engine assist by an integrated starter generator. All of these contribute to a fun yet efficient driving experience, giving the Baleno much more than just good looks and convenience. In addition to fulfilling fuel efficiency and dynamic performance expectations, the layout has been optimised and various technologies used to reduce weight in order to meet the rigorous size and weight requirements specific to compact cars. The new Baleno will be launched in the UK early next Summer. Further details of the Baleno will be disclosed at the Suzuki press conference at the Frankfurt Motor show. The conference will be held at 1.15pm on Tuesday 15th September. We look forward to welcoming you on stand B12 in Hall 9.0. Learn more at http://www.globalsuzuki.com/iaa2015/, a special Baleno website. *At Messe Frankfurt, Frankfurt am Main; press days 15-16 September, public days 17-27 September. ENDS.