FACTBOX: What the rival suitors plan for Opel
(Reuters) - General Motors officials meet the German government on Wednesday to discuss the three takeover offers for carmaker Opel.
A potential row is looming as GM appears to prefer the bid from private equity firm RHJ International, while Germany favors that led by Canadian auto supplier Magna. China's Beijing Automotive (BAIC) has also bid.
Following are details on the bidders' plans for Opel:
MAGNA
- Strategy
Wants to expand its car assembly business and plans to use some Opel plants to assemble models for other car companies. It forecasts high growth rates, particularly in Russia, home of its consortium partners Sberbank and GAZ.
- Shareholding
Magna and Sberbank would each hold 27.5 percent. Around 10 percent would be taken up by Opel workers and 35 percent will remain with GM.
- State guarantees
The group says it needs 4.5 billion euros ($6.4 billion) of guarantees from the German government.
- Equity investment
Will invest 500 million euros in Opel. Only a portion would be equity. The rest would be a loan from Magna.
- Jobs
Around 10,000 of the total 50,000 jobs across Europe would be cut, with 25 percent of the job losses in Germany.
- Plants
Could close Belgium's Antwerp and Britain's Luton plants.
RHJ
- Strategy
Shrink Opel production to return the company to profit. Could sell on the company in the future, possibly even back to
GM.
- Shareholding
RHJ to hold 50.1 percent stake, while GM retains 39.9 percent. The remaining 10 percent would be held by workers.
- State guarantees
Needs German state guarantees totaling 3.8 billion euros. These would be paid back by 2014.
- Equity investment
To pay 175 million euros at the closing of the deal plus 100 million euros on December 31, 2012
- Jobs
To cut about 10,000 jobs throughout Europe, of which 8,100 are in manufacturing
- Plants
To close Antwerp by March 2010 and mothball Germany's Eisenach for next two years
BAIC
- Strategy
Offers prospect of helping Opel expand market share in China.
- Shareholding
Wants to buy 51 percent. The rest would be kept by GM.
- State guarantees
State aid of around 2.64 billion euros is needed.
- Equity investment
Sources say it will invest 660 million euros in Opel.
- Jobs
Around 7,600 jobs would be cut Europe-wide, including 3,000 in Germany.
- Plants
To idle production at Antwerp through March 2010 as it considers closing it. Eisenach would also be mothballed for the next two years.
(Compiled by Angelika Gruber, Marilyn Gerlach and Maria Sheahan; Editing by Will Watermanr)
($1 = 0.7063 euro)
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