Driving an Opel round in circles

August 14, 2009

Opel sign (Reuters photo)True to form, GM’s negotiator on the sale of Opel has poured cold water on expectations of a slam-dunk deal for Canadian car parts group Magna and its Russian backers.

John Smith (no relation, but I’m impressed by his negotiating) maintains in his blog that GM will compare the latest Magna offer with the proposal it has on the table from Belgium-based financial investor RHJ International.

Yesterday was a pretty busy day in the media, with many outlets  reporting that Magna/Sberbank and General Motors had reached an agreement regarding Opel.  At the risk of repeating myself, that’s just not the case. (emphasis added)

Smith is still waiting for more information from Germany’s automotive task force on the T&C of the financing package they are offering to sweeten a deal to buy Opel.

He’s promising to keep us posted. Shame nobody else involved in the negotiations in blogging on them. Or perhaps a chatroom is the way to go.

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