GM to sell Opel to PSA
The PSA Group has announced that it is considering an acquisition of GM’s European business in a deal that would transform the region’s automotive landscape. As reported by Bloomberg this morning, and via other media including the BBC, this acquisition, if it goes ahead, would result in Europe’s second largest carmaker after Volkswagen, and pushing Renault into third place.
The Bloomberg website goes on to say that the French carmaker is in talks on numerous strategic initiatives, including the possible acquisition of Opel. For this information, it quotes a PSA spokesman. GM is seeking a multi-billion dollar amount for Opel, which also operates U.K. sister brand Vauxhall, because of the outlook for improved operations, according, says Bloomberg, to a person familiar with the matter.
Bloomberg goes on to say that PSA shares rose 4.9% to 18.81 Euros at 1:04 p.m. today, Tuesday 14th February, valuing the company at 16.3 billion Euros ($17.3 billion).
(Image: EuropeAutoNews) | 14/02/2017 | Tim Harrup