The German state will provide $4.5 billion euros (around $6.6 billion) to support the Opel restructuring process, with other European countries hosting important Opel facilities to also contribute to the loan package.
Additionally, General Motors intends to close the deal by November, with the American carmaker to continue collaborating with Magna on platforms, engines, manufacturing and purchasing.
"I see no obstacles to getting the deal done successfully by the end of November," John Smith said according to Autonews.
GM Europe President Carl-Peter Forster said in a statement today that the two companies have only reached an agreement and there are more steps to be made before closing the deal. He hasn't provided however a deadline for this to happen.
"This GM recommendation is a decisive step. But there are still many necessary steps we must make before we reach the end of this path. Everyone involved – the company, state and local governments and the Opel Trust – will continue to work hard to take this recommendation to the next level so that it ultimately results in a binding agreement," he said in the statement.