The company’s automobile division was operating quite successfully, but the motors division began suffering. In 1998, Vickers decided to sell Rolls-Royce Motors. BMW made an offer of £340m, but it was outbid by the Volkswagen Group, which bid £430m. As part of the deal, Volkswagen gained complete control of Rolls-Royce and its Crewe factory.
However, since Volkswagen didn’t have the rights to build cars under the Rolls-Royce name, the situation later skewed towards BMW and after many negotiation meetings, both companies finally arrived at a solution. Therefore, the Rolls-Royce Motor Car Limited was founded and by 2003, BMW was able to name its cars ‘Rolls-Royce” and the former Bentley/Rolls-Royce division came under Volkswagen’s control.
A year later, Rolls-Royce reintroduced the Phantom, which was the first model from the Rolls-Royce Motor Cars Limited. By 2008, the Phantom Drophead Coupe was also introduced and released numerous famous models, including the Wraith, Ghost, and Silver Seraph.