FRANKFURT — Canadian car parts maker Magna International Inc. (TSX:MG.A) said Thursday it has ironed out the final details in its bid to buy General Motors Co.’s German Opel unit.
Magna said “the open questions have been closed” in negotiations between GM and Magna management, and the contract will now to go GM’s board.
The GM board will then have to decide between it and Brussels-based investor RHJ International SA.
The Magna bid — from a consortium of Magna International Inc. and Russian lender Sberbank — is the one preferred by the German government but the final decision lies with GM. GM would retain 35 per cent and Opel employees would own 10 per cent under the Magna-Sberbank proposal.
GM Europe released a statement Thursday confirming the Magna offer would be reviewed.
“This morning Magna and Sberbank provided to GM and the German automotive task force revised draft agreements. GM will be reviewing these documents over the next few days,” the statement said.
“The automotive task force will be reviewing as well, as GM has requested from the task force an outline of the financing package that the German Government, and other European Governments, would support. When this outline is available, the options for Opel will be discussed with GM’s Board of Directors.”