PSA Group and General Motors confirmed today that widespread European news reports that GM is in talks with the French firm to sell its loss-making Opel/Vauxhall operation to PSA were underway.
If the deal goes through, it would mean GM’s presence in Europe would be limited to niche sales of Cadillac, and Chevrolet Camaro and Corvette models – all of them exports. PSA is the second largest automaker in Europe behind Renault. In Europe, the Group’s sales were 1,930,000 vehicles and grew by 3.6% in 2016. In 2016, global sales increased by 5.8%, to 3,146,000 units
In a statement, GM said: “Since 2012, General Motors and PSA Group have been implementing an alliance covering, to date, three projects in Europe and generating substantial synergies for the two groups. Within this framework, General Motors and PSA Group regularly examine additional expansion and cooperation possibilities, as well. PSA Group and General Motors confirm they are exploring numerous strategic initiatives aiming at improving profitability and operational efficiency, including a potential acquisition of Opel/Vauxhall by PSA.”
After a similar statement, PSA added: “Pursuant to the commission implementing regulation (EU) 2016/1055 of 29 June 2016 laying down implementing technical standards with regard to the technical means for appropriate public disclosure of inside information and for delaying the public disclosure of inside information in accordance with Regulation (EU) No 596/2014 of the European Parliament and of the Council, this press release may contain inside information and has been sent to the authorized broadcaster of PSA on 14 February 2017 at 13:20 CET.”
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