> Only 2.3 billion dollars. that's not too much right.
> GM is selling Opel-Vauxhall to Peugeot-Citroen for this paltry
> From AB
> It's a Brexit for General Motors. GM is selling off its Opel and
Vauxhall unit, it confirmed today, ending 90 years of automobile
production in Europe, and nearly two decades of losses from that
> The deal was announced on the eve of the Geneva Motor Show. The
focus for GM now becomes North America and China. "This was a
difficult decision for General Motors," CEO Mary Barra said.
"But we are unified in our belief that it is the right
> "For GM, this represents another major step in the ongoing
work that is driving our improved performance and accelerating our
momentum. We are reshaping our company and delivering consistent,
record results for our owners through disciplined capital allocation
to our higher-return investments in our core automotive business and
in new technologies that are enabling us to lead the future of
> The buyer is French automaker PSA Groupe, maker of Peugeot and
Citroen as well as its DS luxury sub-brand. The $2.3 billion deal will
make PSA the second-biggest European manufacturer after Volkswagen,
with 17 percent of the market share.
> "We want to create a European automotive champion," said
PSA Groupe Chairman Carlos Tavares. "We will totally unleash the
potential of the Opel and Vauxhall brands."
> Tavares gave assurances that jobs would not be lost in the deal.
"We respect all that Opel/Vauxhall's talented people have
achieved as well as the company's fine brands and strong heritage. We
intend to manage PSA and Opel/Vauxhall capitalizing on their
respective brand identities."
> The two companies have agreements for PSA to continue to supply
some Holden and Buick models; it's not yet clear exactly how this will
work, as Opel models form the basis for several of Buick's core
products, including the Encore small crossover and Regal sedan.
> PSA also is purchasing GM's financing operations in Europe as part
of the deal. GM may invest in PSA shares in the future, and the two
companies may collaborate on electric and fuel-cell vehicles as part
of GM's joint venture with Honda. The sale of Opel and Vauxhall brings
GM's global brand total down to eight, including three that are
specific to the Chinese market.
View the attachments for this post at: