Chrysler bidding continues, Magna in front

WLNS television out of Lansing, Michigan, reports on its web site that analysts have said Magna International is leading the race to win (buy, rather) The Chrysler Group. Magna is the Canadian parts supplier to Chrysler and several other automotive companies, and recently brought on Onex, a Canadian financial company, to assist it with its bid.

The only other companies in the running are private equity groups such as Cerberus Capital Management and the Blackstone Group. Both the UAW and CAW have gone on record as opposing a sale to any private equity group, and have said that if they can't buy the firm, they would prefer the sale be awarded to Magna. The unions control almost half the vote on the DCX advisory board, which bodes well for Magna's chances. Chrysler appears to have completely ignored Kirk Kerkorian's bid. DaimlerChrysler has said it expected to narrow down the negotiating partners by the end of this month, but no announcement has been made yet.


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