GM chooses Magna International to take control of Opel and Vauxhall
After weeks or months of procrastination on the sale of GM's European Opel and Vauxhall divisions, here the Board of Directors of the American Society recommends the sale of these last was the Magna International Canadian manufacturer, and its partners which thus take control of 55% of the shares of these two manufacturers.
Here is a highly anticipated decision, on the one hand by workers who had tired of all these negotiations that do finissaien more and Chancellor Angela Merkel that the full electoral campaign, wanted a quick denouement.
This is the crucial step for all parties, including issues remain very perilous and only the future will tell if this was the right decision, and especially for that ...
Here is the press release issued by the European division of GM:
The Board of Directors of GM recommends the sale of a majority share Opel / Vauxhall Magna International / Sberbank.
* GM sells 55% stake in New Opel Magna / Sberbank.
* The agreement on the new structure of ownership is a sign of a new beginning for New Opel.
* Staff will hold a 10% stake in New Opel.
* The Government supports the financing of additional state guarantees.
Zurich. General Motors today announced that its Board of Directors supported a bid for a majority stake in its activities Opel / Vauxhall european, formulated by the consortium of Magna International Inc. and Sberbank.
Several key issues will be finalized in the coming weeks for the conclusion of binding agreements, including the written support of the unions showing their agreement with the operation of the restructuring costs necessary to ensure the viability and the finalization of a definitive financing package from the German government. The definitive agreements should be ready for signature in a few weeks, closing involved in the next few months. Under the agreement, Magna / Sberbank will acquire a 55 percent in New Opel; GM will retain a 35 percent down and staff will receive a share of 10 percent.
"The intense efforts during the last two weeks to clear up outstanding issues and resolve details on the German financial package have brings GM and its Board of Directors to recommend Magna / Sberbank," stated Fritz Henderson, President Director General of GM. "We thank all parties who participated in the intense process in recent months - especially the German government - for their continued support which allows the concretisation of this new adventure. I would also like to thank the Opel and Vauxhall customers for their unwavering loyalty. GM will continue its close collaboration with Opel and Vauxhall to continue to develop and produce quality cars such as the new Insignia and the new Astra, "said Fritz Henderson adds.
The agreement will allow a Opel / Vauxhall to remain a full member integrated organization of global product development for GM, and all parties can benefit from the exchange of technology and technical resources. The new ownership structure represents a new effective and independent rational organization for the Opel and Vauxhall brands. The current portfolio of cars Opel / Vauxhall models in preparation and form a solid foundation for success to come.
Participation in global organizations technological development and purchase of GM guarantees significant economies of scale for Opel / Vauxhall and other GM brands. For example, vehicles embodying new propulsion technologies, such as the extended range electric vehicle Ampera can only be marketed as part of a joint effort.
"GM participated in many joint ventures around the world and has proven in the past that this economic model offers the right balance of independence, innovation and synergies," explained John Smith, Vice President Business Development GM group . He added: "All parties will work hard to conclude the operation as soon as possible."
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