Reports suggest bankrupcty for Opel is possible if no deal is reached
3 August 2009

Opel may have to enter bankruptcy proceedings if a deal cannot be reached soon with either RHJ International or Magna.

According to Bloomberg, GM’s new 13-strong board is meeting today and will make the Opel situation its main topic of discussion to ensure the situation can be resolved as quickly as possible.

GM is said to favour the bid from RHJ, but the German government and four local governments who provide money to Opel are all strongly favouring Magna.

Roland Koch, the state premier for the state of Hesse, where Opel's headquarters is based, said there would be no German taxpayer money available for RHJ.

He said Germany has worked hard to make it clear to GM “that there would be no consensus for the financing of an RHJ takeover”.

According to GM’s chide negotiator John Smith, "[Magna’s bid] contained elements around intellectual property and our Russian operations that simply could not be implemented” and RHJ’s bid would represent “a much simpler structure and would be easier to implement”.

Twitter - follow autocar.co.ukSee all the latest Vauxhall reviews, news and video

Add your comment

Log in or register to post comments

Find an Autocar car review

Driven this week

  • Lexus LC500
    Car review
    20 October 2017
    Futuristic Lexus LC coupé mixes the latest technology with an old-school atmospheric V8
  • Maserati Levante S GranSport
    First Drive
    20 October 2017
    Get ready to trade in your diesels: Maserati’s luxury SUV finally gets the engine it’s always needed
  • Jaguar XF Sportbrake TDV6
    First Drive
    19 October 2017
    The handsome Jaguar XF Sportbrake exhibits all the hallmarks that makes the saloon great, and with the silky smooth diesel V6 makes it a compelling choice
  • Volkswagen T-Roc TDI
    First Drive
    19 October 2017
    Volkswagen's new compact crossover has the looks, the engineering and the build quality to be a resounding success, but not with this diesel engine
  • BMW M550i
    First Drive
    19 October 2017
    The all-paw M550i is a fast, effortless mile-muncher, but there's a reason why it won't be sold in the UK