This is a pretty stark indication of how bad it is for General Motors and how different a company they will once they enter, and emerge from, bankruptcy in the summer.
General Motors is prepared to part with a controlling stake in Opel/Vauxhall for nothing but a pledge to invest directly in a new company formed from its European operations, the Financial Times said on Sunday, citing two people familiar with its plans.
GM is also prepared to unload Saab, its Swedish premium brand that filed for creditor protection in February, for as little as nothing in order to divest the brand, the report said.
Wouldn’t it just be insane if the bankruptcy of GM led to a Fiat… of all companies… owning controlling shares of both Chrysler, and the remnants of GM in Europe?
Or what if a Chinese firm stepped in (like BYD) to take over the whole thing.
Italy’s Fiat and SAIC, GM’s main joint venture partner in China, have both denied interest in buying Opel/Vauxhall.
The FT also said GM’s European unit is engaged in “aggressive” contingency planning to protect itself in case the company files for bankruptcy in the United States, citing a person familiar with GM’s plans.