BMW is in talks with the French firm over the proposed deal
5 August 2009

BMW is in talks with PSA over plans to share its Mini platform with Peugeot and Citroen, according to the firm’s chief executive.

Norbert Reithofer said BMW is talking to its French rival about deeper co-operation between the two firms but refused to give any further details about the proposed tie-up.

Company sources told the Financial Times that the talks were at a “preliminary stage” and BMW was keen to extend its use of the Mini platform to make it more profitable.

PSA and BMW already collaborate on 1.4-litre and 1.6-litre petrol engines used in cars including the Peugeot 207 and the Mini range.

Peugeot’s chief executive Philippe Varin said last week the company planned to deepen its current partnerships with BMW and other carmakers, and it was “open to studying other alliances or co-operation programmes”.

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