Not So Fast, Fiat: Russians Interested in Opel, Too
By Michelle Krebs May 6, 2009Fiat CEO Sergio Marchionne's plan to create a mega-automaker by
combining Fiat's auto operations with Chrysler and General Motors Corp.'s Opel and other European operations may yet face competition from a previously named interested party: Canada's Magna International.
Just-auto.com reported a Russian news source as saying Magna is allying with Russia's Sberbank and GAZ Group to make a controlling-stake bid for Opel, which GM is anxious to offload and Marchionne covets in order to create a new automaker from Fiat, Opel and Chrysler.
GM has in effect stated it is prepared to part with Opel for little or no payment, and it was reported GM might sell Opel for 500 million euro. It's believed Opel needs much more than that to remain solvent, however, and the German government has pledged several billion euros to a worthy Opel takeover arrangement.
Magna had been named as an early suitor for Opel, either alone or as part of a consortium, but chairman Frank Stronach seemed to back off last week by saying Magna merely would like to help in the situation.
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I'm still confused as to why GM wants to dump Opel like a hot rock. Many of GM's successful cars in the US are based on Opel architecture.
Fire sale Opel and keep Buick & GMC? They're getting ready to move out of the Ren Cen and over to China. You heard it here first.
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