“Initially, GM had serious reservations about Magna’s offer and seemed to favor a rival bid by the Belgian-based investor, RHJ International. One GM official said RHJ’s offer was “simple and elegant.” In particular, GM was uncomfortable with a Russian company getting its hands on Opel’s technical expertise and patents!“
I have followed this story from the beginning and have posted these articles on the subject:
http://kylekeeton.com/2009/05/opel-is-officially-sold-to-russia-and.html
http://kylekeeton.com/2009/08/is-gm-dragging-feet-because-russia-is.html
I waited to print this article even though it was splashed all over the Eastern Press. I am learning that many people can not accept any press but the Western press. (Sad but true!)
So finally the end is in sight for this transaction between GM and Magna – Sberbank! Germany had to push way too hard for this deal to happen and it just proved to Germany that the American Government could care less what is best for Germany! This had nothing to do with what is best for America or GM it was a anti-Russian situation plain and simple.
GM retains a 35% holding in the Opel company and hopefully that will become 0% in a few years…
On Thursday, GM said the Magna-Sberbank group would acquire 55% of Opel. Employees will hold 10% of the German automaker, leaving GM with a 35% stake. (Link)
Windows to Russia!
comments always welcome.