GM Plays Down Quick Decision on Opel

Opel's selling negotiations continue these days and, as far as GM and Germany are concerned, they will continue for a long time from now on. Both the Opel owner and the German state denied rumors claiming GM's unit might be sold in the near future and revealed that reaching a deal with one of the two suitors would be "tough".

Furthermore, German Chancellor Angela Merkel re-confirmed in a meeting with Russian President Dmitry Medvedev her support for Magna International, the Canadian - Austrian parts manufacturer who's backed by Russian investors.

"Such negotiations are sometimes difficult and you need patience," Merkel said according to a report by Reuters. "Therefore I am not able to say today when they will be concluded - we would like this to be as soon as possible."

"No one can decide anything without the other," she said, "so there is a need to come to an agreement."

On the other hand, General Motors said the selling process might still take a while because it has to review an offer submitted by Magna last week. The former American manufacturer last weeks revealed that RHJ's offer is much more advantageous for Opel as it implies less government involvement.

"It is primarily up to GM to evaluate the offers," German Economy Ministry spokesman Steffen Moritz said at a news conference. "We will look at the contracts, but I can't say when this process will be finalized."

John Smith, GM Group Vice President (and GM’s chief negotiator for the sale of a stake in Opel/Vauxhall), confirmed on August 14th that GM received a new offer from Magna but revealed that it would take up to several days to review the papers.

"We did receive another offer from Magna/Sberbank yesterday morning and are reviewing it now. We’ll update the comparisons we made previously to the attractive proposal submitted by RHJI on July 20 and prepare for a review with GM’s Board of Directors," he said.
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About the author: Bogdan Popa
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Bogdan keeps an eye on how technology is taking over the car world. His long-term goals are buying an 18-wheeler because he needs more space for his kid’s toys, and convincing Google and Apple that Android Auto and CarPlay deserve at least as much attention as their phones.
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