Interest by several potential investors is generally positive as it strengthens the automaker’s negotiating position, but it must not delay the sales process, Opel’s chief has said.
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“We need a deal fast,” Hans Demant said in an internal letter to staff seen by Dow Jones Newswires on Wednesday.
Demant said takeover talks were being held with Magna International, Ripplewood Holdings, Beijing Automotive Industry Holding and Fiat.
Each investor had its own strategic approach, Demant was quoted as saying. Fiat was eyeing future technologies, BAIC wanted to grow in China and Magna planned to expand its product line significantly to create growth in markets including Russia.
Financial investor Ripplewood wanted to “help us as (an) investor through the difficult time,” Demant said in the letter.
Magna is the front runner with its bid backed by Russia’s Sberbank Rossia and automaker OAO GAZ Group. Magna’s supervisory board plans to discuss the bid at a meeting scheduled for 14 July, Dow Jones noted.
BAIC has launched a bid worth EUR660m for a 51% stake in Opel, Fiat has reiterated interest but refused so far to improve its bid and the prospects of Ripplewood’s offer remain unclear, Dow Jones said.
