RHJ Improves Bid for Opel

The Belgium investor RHJ International recently improved the bid for Opel, source familiar with the matter revealed, raising the sum it is ready to offer for a 50.1 percent stake in the German manufacturer. According to a report by Reuters, RHJ is now offering 300 million euros ($431 million) in cash, 25 million euros more than in the latest bid.

Additionally, RHJ informed General Motors that it will seek only 3.2 billion euros from the German government and other countries across Europe that host Opel production plants. This fact perfectly complies with GM's preferences, as the American manufacturer earlier this year revealed that it chooses RHJ mostly because it involves less government participation.

Furthermore, RHJ says that the reduced amount of loans from the governments would allow the company to pay the debts by 2013, the aforementioned source noted citing official papers.

"RHJ had already stated it was trying to optimize the financial aspect of its offer and it will continue to make every effort wherever possible to reduce the impact on German and European taxpayers without making any new cuts in employment, planned investments or anything else," the RHJ spokesman said.

"The bid from RHJI is completed and would represent a much simpler structure and would be easier to implement. It would require less monetary participation by the government and would keep our global alignments solid, while still creating an independent Opel/Vauxhall organization in Germany. This remains a reasonable and viable option to be considered as the very difficult issues around the Magna negotiations continue to be worked," John Smith, GM group vice president (and GM’s chief negotiator for the sale of Opel), said in July.
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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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