Belgium's RHJ nearer to Opel deal
13 Jul 2009
Belgian holding company RHJ International is in advanced negotiations with General Motors over the acquisition of a stake in GM's European unit, Opel.
In a brief release issued today, RHJ International confirmed that it plans to rival Canadian auto parts maker Magna International, the leading contender for Opel and that it expects to agree on a deal with the US automaker this week.
RHJ International said in its release that the company "is in negotiations with General Motors Corporation over the acquisition of a majority stake in GM's European subsidiary Adam Opel GmbH, which includes Vauxhall in the UK," adding, "These discussions have been taking place over a number of weeks and are at an advanced stage."
The German government had agreed to give 1.5 billion euros ($2.09 billion) in bridge loans to Opel till the time a takeover was arranged.
Magna International and Russian lender Sberbank had signed a tentative deal to acquire majority stake in Opel in May. But negotiations have been stuck over the future of the company and rights to use its technology, even as both GM and the German authorities have continued to explore options.
China's Beijing Automotive Industry Holding Co (BAIC), which was also looking at tapping Opel's brand and technology for the Chinese market, had also submitted a detailed bid for Opel earlier this month.
