Binding share purchase agreements are set to be signed on Thursday between GM,
the Canadian company and the Russian bank, according to people briefed on
the plans. The deal’s announcement is expected late in the afternoon.

GM, which began seeking buyers for Opel in February because its US bail-out
loans barred it from subsidising loss-making overseas operations, wants to
close the deal by November 30.

Diplomacy
The announcement will follow a week of intense diplomacy by Magna as it
sought to shore up agreements with Opel/Vauxhall’s unions on the roughly
11,500 job cuts it is seeking across Europe.

On Tuesday GM secured agreement from the UK’s Unite union on production and
jobs at its two British plants.

In Spain on Thursday, unionists and regional government officials are
scheduled to talk to Magna for a third day on the future of Opel’s plant
near Zaragoza.

Written guarantees
Central and regional government officials said on Wednesday they had received
written guarantees from Magna on the “medium- and long-term” future of
production at the Spanish plant but wanted commitments on investment and
jobs to 2013.

Without these, they said, the facility could be effectively wound down, making
it easier for the new owners to renege on these promises in five or 10 years
time.

Workers are prepared to reduce output at the Zaragoza plant from 500,000 to
400,000 vehicles in response to flagging demand but not to the 320,000 being
sought by Magna.

In spite of remaining differences between the two sides, there were hopes of a
broad agreement, Spanish officials said.

GM is counting on shoring up firm agreements on jobs and plants between
Thursday’s signing and the deal’s closing.

European Commission
The transaction is subject to approval by the European Commission, which has
been watching the horse-trading over jobs and aid to Opel with growing
unease, and says it will veto any deal that violates its internal market
principles.

Governments led by Germany and the UK are also still haggling over terms and
apportioning of the €4.5bn of government loan guarantees needed to
restructure Opel. Poland, Austria and Hungary are also expected to
contribute, as will Spain if it secures the agreement it is seeking on the
future of the Zaragoza plant.

Dit artikel is oorspronkelijk verschenen op z24.nl