RHJ Might Revise Opel Takeover Bid

The Opel selling saga is far from being over as the two suitors, Magna and RHJ, are challenging one another with new bids every once in a while. This time, the Belgian investor is looking to improve its takeover proposal by lowering the amount of government funds to support the dealer from 3.8 billion euros to 3.6 billion euros.

This way, RHJ plans to better comply with Germany's requirements which, according to some voices, are placing Magna International in pole position. German chancellor Angela Merkel even emphasized that Magna's offer is the best Opel could get, hinting that the Canadian - Austrian manufacturer might be favorite to purchase GM's unit.

But RHJ is still favorite in the eyes of General Motors who says selling Opel to the Belgium investors would be easier.

"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.

Nevertheless, negotiations continue even if Germany and GM Europe can't agree on the two bids. Officials of those involved in the talks met last week, with some representatives claiming that Opel could find out the name of the next investor as soon as this month.
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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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