Smart Motorist

RHJ International increased its takeover offer before the Opel division of General Motors group, agreeing to inject more liquidity into the unprofitable car manufacturer and ask fewer guarantees from the German Government.

In the revised offer, RHJ will invest 300 million euros instead of 275 million euros, said Arnaud Denis RHJ spokesman. The offer provides guarantees for loans worth 3.2 billion euros, down from the previous requirements, the 3.8 billion euros, the repayment is scheduled for 2013, a year earlier than the original offer provided.

German government, which provided short-term loans worth 1.5 billion euros to ensure the survival of Opel, GM pressure the group to accept the offer made by Canadian auto parts supplier Magna International Inc.. Germany announced that it will provide guarantees of 4.5 billion euros in the offer made by Magna.

Germany is trying for months to ensure the survival of Opel and that this could best be guaranteed through an acquisition by Magna, ready to assist public billion for this purpose.

Magna, which is supported by the Russian bank Sberbank, Opel wants to aggressively penetrate the Russian market, while RHJ wants to cut production to bring Opel profit, and could sell the division back to GM.

Source: http://www.opel.com/