AMG was founded as a racing engine forge in 1967 under the name AMG Motorenbau und Entwicklungsgesellschaft mbH (AMG Engine Production and Development, Ltd.), by former Mercedes engineers Hans Werner Aufrecht and Erhard Melcher in Burgstall an der Murr, near Stuttgart . The letters "AMG" stand for Aufrecht, Melcher and Großaspach, Aufrecht's birthplace .
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