Saturn, Pontiac and GMC could soon no longer be in the General Motors brand corral, according to US media reports.
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General Motors has confirmed it was in talks to potentially sell its Saturn group to one of two private investor groups that have expressed an interest in the dealership network.
The sale of Saturn to outside investors could turn the GM unit into a future route for Indian and Chinese cars to enter the United States, by avoiding the need to set up new dealer networks and meet strict US safety regulations from scratch, news agency AFP suggested.
“Over approximately the past 60 days, a sub-committee of Saturn retailers has been studying the feasibility of the sale or spin-off options, and has identified some parties that are potentially interested in a purchase or spin-off of Saturn,” GM said in a statement.
The company identified Black Oak Partners as one of the groups but said it was “not at liberty” to discuss any other interested party.
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By GlobalData“It is simply premature at this time to speculate on what any eventual outcome may be,” the statement added.
Individual Saturn dealers have told AFP other vehicle suppliers could be lined up.
Chinese vehicle manufacturers already work through a variety of distribution companies to export vehicles to Russia and the Middle East, it noted.
Saturn currently operates 440 dealerships in the United States but the number is expected to decline as GM continues to restructure.
GM spokesman Tom Wilkinson declined to comment to AFP on the fate of the Hummer brand, which was put up for sale last summer.
“We haven’t made any decision yet,” he said.
Meanwhile, sources have told Bloomberg News that GM may axe the Pontiac and GMC brands as part of cost cutting.
The future of the two brands reportedly has come under scrutiny during recent talks between the Obama administration’s autos task force and GM, though the automaker’s GM’s Chevrolet, Cadillac and Buick brands are likely to be safe.
Axing Pontiac would end the export to North America of rebadged Holden Commodore sports sedans from GM’s Australian unit Holden.
GM said earlier this year it would keep Chevrolet, Cadillac, Buick, GMC and Pontiac while selling or closing Hummer, Saab and Saturn.
Separately, Saab Automobile today confirmed it had received 27 expressions of interest in buying the brand from GM.
