Daimler mulls GM stake to pay for Chrysler unit: FT

LONDON (Reuters) - DaimlerChrysler AG DCXGn.DE is considering taking a minority stake in General Motors Corp. (GM.N) as payment for Chrysler if a deal between the two automakers takes place, the Financial Times said on Monday.

Such an all-share option was being weighed up by the firm, the newspaper said, citing people familiar with the situation.

Other possible options included a sale of DaimlerChrysler's struggling U.S. arm to private-equity or industry investors, and a flotation of Chrysler, according to the FT.

"They are interested in who takes Chrysler over and they would be happy to take equity in GM in return," the FT quoted an unnamed leading shareholder as saying. The shareholder was citing talks with DaimlerChrysler's senior managers, it said.

Chrysler Group Chief Executive Tom LaSorda told employees last week it might take months before questions about a possible sale of the unit could be answered.

Sources familiar with the situation told Reuters earlier this month that GM had conducted preliminary talks with Chrysler aimed at an acquisition or a strategic alliance.

DaimlerChrysler declined comment on the FT report. Its stock rose 1 percent to 54.32 euros by 0807 GMT while the DJ Stoxx European car sector index .SXAP gained 0.6 percent.