GM Still Interested in Selling Opel

With more and more rumors hinting that General Motors might after all retain possession of Opel, the US-based manufacturer says it is still interested in selling the German brand to a group led by Magna International. Company CEO Fritz Henderson told US television CNBC that completing the Magna - Opel takeover is in the best interested of General Motors as it only wants to focus on its current four core brands.

"I think right now there is no other buyer for the business and the deal we have on the table is, we think, in the best interest of GM," Henderson said according to Reuters. "Our mainstream plan is to try to bring the Magna transaction to closure.When our board considered the transaction, we recommended and proceeded with the Magna transaction," Henderson said.

"Based upon subsequent input -- I'm in dialogue with our board members -- what we're trying to do is to get the Magna deal finalized while being in dialogue with the German government."

General Motors agreed last month to sell 55 percent of Opel to Magna International and keep only 35 percent of the company. Opel's employees will gain control of a 10 percent stake.

The Magna - Opel deal was expected to be completed last week but, due to a number of issues, the final signature has been delayed for about one week. Sources close to the matter are hinting that Magna is expected to be given the go ahead this week, after resolving the problem with Opel unions who are not agreeing with the job cuts proposed by the Canadian - Austrian partsmaker.
If you liked the article, please follow us:  Google News icon Google News Youtube Instagram X (Twitter)
About the author: Bogdan Popa
Bogdan Popa profile photo

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.
Full profile


Would you like AUTOEVOLUTION to send you notifications?

You will only receive our top stories