GM settles Opel compensation row with Sberbank
29 Apr 2010
Russia's Sberbank and General Motors have agreed on the compensation which the US auto giant will pay for its refusal to sell the troubled German arm Adam Opel GmbH, despite earlier accords, Russian news agency RIA Novosti reported citing Sberbank sources.
"The parties also express their readiness for potentially mutually advantageous cooperation in the future," Sberbank said in a statement.
Russia's largest retail lender, however, declined to give any details on the compensation deal.
In late December 2009, Sberbank demanded compensation from General Motors for the upset Opel deal, threatening to sue the US automaker if the demand was not met (See: Sberbank seeks compensation from GM for scrapped Opel deal).
"We have incurred significant costs. We have estimated all expenses and handed over a demand for voluntary compensation to the company," Sberbank CEO German Gref said, adding that "we will press for compensation using legal means if the demand is not met."
According to previous plans, the Magna-Sberbank consortium was expected to take a 55 per cent stake in Opel on a parity basis, and the German carmaker was to control 10 per cent, with GM retaining 35 per cent (See: Magna, Sberbank win GM's Opel, Vauxhall units).
However, the US carmaker walked away from the deal in November citing improving business environment for the company (See: GM says 'No' to Magna; decides to keep Opel).
Russian officials had hoped the deal would be a chance to boost the country's ailing car industry and obtain top European automotive technologies and expertise.
