Currently reading: Vauxhall/Opel decision today

Early reports say GM won't sell; later reports say Magna sale on

General Motors is set to announce its plans for Vauxhall and Opel later today - with the latest reports suggesting it will go ahead with plans to sell to Magna International.

GM was forced to investigate selling off its European business as part of its US Chapter 11 restructuring.

Initial reports suggested GM had decided not to sell its European arm after a two-day board meeting in Detroit, but it is now being widely stated that GM will sell to Magna, but will attach stringent terms to the deal regarding intellectual copyright issues.

Two bids for the company had been lined up; one by Canada’s Magna, which was backed by Russia’s Sberbank, and another by RHJ International, a Brussels-based investment firm.

GM's decision will be announced in Berlin this afternoon, bringing months of speculation about the future of Opel/Vauxhall to an end.

Tom Richards

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