Henderson: Buyer for Opel picked by end of month
The Opel brand may be churning out some solid-looking products of late, but the European brand isn't long for the GM world. That isn't news, but the fact that a buyer will be chosen before the end of May is. GM CEO Fritz Henderson promised the quick turnaround of Opel during a Monday news conference, saying "several bidders" are interested in the brand.
So far, Fiat and Magna International have publicly expressed interest, but some are expecting at least one Chinese automaker to be in the mix. Henderson insists that the General would have the final say on the winning bidder, though the German government would be counseled on any decision. The German government has been asked to provide $2.5 billion euros in loans to finance the new company.
The sale of Opel is just one facet of GM's larger viability plan, which will pare the General down to four core brands; Chevrolet, GMC, Buick, and Cadillac.
[Source: Automotive News - Sub. Req.]
Reader Comments (Page 1 of 1)
Sea Urchin 8:38AM (5/12/2009)
Bad idea, not only will GM lose a car company whose products it could have used in USA they will become much like Chrysler, basically a North Americal player only.
In fact afther the merger Chrysler will become far mole global.
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Avinash machado 9:03AM (5/12/2009)
But they will still have Daewoo,Vauxhall and Holden.
The Other Bob 9:12AM (5/12/2009)
As I have said in another thread, just becuase Opel isn't owned by GM, doesn't mean they won't continue to share products.
Car makers share platforms and cars all the time without one owning part or all of the other. Consider Fiat and Ford, Mitsubishi and Chrysler, VW and Chrysler, GM and Suzuki, and on and on.
hypermiler 9:56AM (5/12/2009)
@ Avinash machado
> But they will still have Daewoo,Vauxhall and Holden.
Korean government is demanding to have the control of Daewoo back plus Holden engine plant as the condition of bailout, so that Daewoo could be sold to one of Korean capitals, be it Samsung or POSCO.
BigWill 11:32AM (5/12/2009)
The interesting thing is that GM can afford to lose Opel much more than it can afford to lose GM-DAT aka Daewoo. Their whole new small car lineup - Spark/Beat, Cruze and by extension Volt with its LG batteries, and Orlando - are Daewoos.
ojfl 1:22PM (5/12/2009)
I agree its a bad idea. Without Opel GM no longer plays in the European and South American markets where products derived from Opel are dominant. That will hurt. They should keep it and go into bankruptcy running. The government seems to be forcing their hands to sell this division which has been one of the few profitable ones.
Andrew L 8:45AM (5/12/2009)
does this include Vauxhall as well or just Opel?
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Avinash machado 9:03AM (5/12/2009)
I think GM will be keeping Vauxhall.
Kumar 9:05AM (5/12/2009)
So is Magna just another Cerberus?
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sk 9:41AM (5/12/2009)
No, Magna International, Canada's largest automobile parts manufacturer is a supplier mostly for GM, Ford and Chrysler. Cerberus is a investment firm.
hypermiler 10:00AM (5/12/2009)
> So is Magna just another Cerberus?
Magna is the world's largest auto parts maker, so they are a car company.
Kumar 10:32AM (5/12/2009)
Hmmm....seems like a good fit then for Magna and Canada. Opel has a boatload of smaller vecs that our friends to the north love. Additionally, if Opel is based in Canada, then our chances of getting more Opel derivatives goes way up.
I'm thinking that GM would be doing everyone a favor by making sure that Magna ends up with BOTH Opel and Saturn, so that Saturn could be the US arm of Opel.
BigWill 11:35AM (5/12/2009)
Magna has been making noises for years and in fact has come up with some interesting cars, but Magna buying Opel violates one of those really basis Business 101 rules - you don't compete with your customers. If you don't believe it, ask Pepsi why they were virtually forced to create Yum! Brands.
Frank 9:44AM (5/12/2009)
Will GM be able to keep the Ecotech? Will they loose any new 4 cyl technology coming from Germany? This is beginning to look like another bone head maneuver. They are going to keep the re-badged Chevy Truck (GMC) but off the 4 cylinder?? You would have thought they learned their lesson when they sold off GMAC being you don't get rid of your life line because it looks good on paper. Now you have the Chinese joining the buzzard crowd waiting for their piece of the carcass. These guys have got to go, truly a sad day when it happens.
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androo 10:39AM (5/12/2009)
> I think GM will be keeping Vauxhall.
I don't see how Vauxhall and Opel can be separated since they are the same thing (apart from a few badges here and there). Gone are the days when Vauxhall actually had different cars to Opel. Even the model names are the same. Opel without Vauxhall would be an unattractive proposition for Fiat, or anyone, I'd have thought.
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Colin Smith 10:45AM (5/12/2009)
Vauxhall is indeed only a name, a fiction enabling British fleet buyers to maintain the myth that they are buying British.
It assembles the Astra here, and some vans. That's it.
Whoever gets Opel gets Vauxhall.
What actually is Vauxhall without Opel?
Swede 10:49AM (5/12/2009)
The reason the british still thinks Vx is a british company is Ellesmere Port. Luton does not count because they don't make cars, and sure GM could keep Vx and Ellesmere Port but it'd be an awfully small player, and to get any sort of volume they need to import alot of vehicles. It's complicated and complicated ideas have a tendency to fail.
Bloke 11:44AM (5/12/2009)
Vauxhall is a separate company with ots own board of directors. Whatsmore, its a subsidiary of GM (UK) which in turn is a subsidiary of GM. GM's British network of companies was reorganised in 2007.
GMM Luton, another GM (UK) subsidiary, currently builds commercial vehicles in Luton under a JV between GME and Renault.
Just because Opel goes does not mean Vauxhall automatically goes with them. GM Europe owns the intellectual property and uses Opel's facilities to develop the product. GM may sell some - or all, or none - of those rights to Fiat, Magna or whoever else. if Vauxhall remains with GM, then GM may utilise existing platforms fro Vauxhalls and contract those platforms out to Opels's new owner, or vice versa initially if the rights are sold. If all of GM Europe is sold, then chances are that GM's UK company network - which includes Vauxhall and GMM Luton - will go with Opel.
Bloke 11:45AM (5/12/2009)
Swede - Vauxhall Motors Ltd is a British company because its articled in England & Wales. It's that simple.
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