US: GM still sees problems with Magna bid
General Motors has said that it still has considerable problems with the offer from Magna to sell its European arm Opel. The comments from the US giant seem to have put to an end hopes a deal could be reached in coming days.
General Motors has said that it still has considerable problems with the offer from Magna to buy its European arm Opel. The comments from the US giant seem to have put to an end hopes a deal could be reached in coming days.
Pressure has been mounting on GM from the German government to sign a deal.
However, GM Group vice president and chief negotiator John Smith wrote in a blog on the company's website: "Little progress was made in whittling down the outstanding issues, in part reflecting the return of some issues that we previously considered to be resolved."
He went on: "I can report some progress (with Magna), resolving perhaps one-third of the issues during a first day of talks. However, the difficulties of getting to 'yes' with three parties in the room were very much in evidence yesterday."
A report by German newspaper Allgemeine Zeitung said the heads of Magna and GM would meet in Detroit today to try to find a way out of the stalemate.
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