Opel prospect Magna presents 'interesting' concept

Opel prospect Magna presents 'interesting' conceptBerlin - The Canadian-Austrian car parts supplier Magna presented the German government Tuesday with the outline for an Opel bailout proposal. German Economics Minister Karl-Theodor zu Guttenberg said Magna had laid out an "initial interesting rough concept," at a face-to face meeting in Berlin.

The next step was to underpin the draft with clear facts and figures, the economics minister added.

However, Guttenberg criticised the fact that Opel-owner General Motors (GM) had still not presented reliable figures. It was tiring, he said, to have to wait months for these facts.

Several prospective buyers were coming up against the same problem, the economics minister added.

In principle, Guttenberg said they were talking to all interested parties, although some were crystalising as clear candidates.

Magna has expressed interest in a stake of the stricken General Motors (GM) subsidiary, alongside Italian car manufacturer Fiat.

Guttenberg said Fiat's proposals also needed to be populated with concrete details, but added that the two corporations had presented such different solutions that it was not conceivable for both Fiat and Magna simultaneously to be involved in Opel.

Kurt Beck, the State Premier of Rhineland-Palatinate where an Opel factory is based, said Magna was aiming for a direct 19.1 per cent share of Opel, and hoped to achieve a majority via subsidiary companies.

Magna may partner with Russian oligarch Oleg Deripaska to obtain a further 30-per-cent share, Canadian daily Globe and Mail had reported.

Deripaska, considered Russia's richest businessman before the financial crisis, had owned a stake in Magna which he sold in 2008.

If Magna's bid is successful, Opel cars could be assembled at its Austrian factory, where other brands, including Chrysler, BMW and Mercedes, also roll off the assembly line.

Guttenberg criticised the fact that some prospective buyers were being favoured over others, in reference to the fact that Fiat's bid had met with strong opposition, both within Opel and from regional politicians.

These speculations damaged Opel's position, the economics minister said, adding that Opel should not be turned into an election issue.

GM had recently spoken of six potential buyers for Opel, and hoped to reach a decision in the coming weeks. (dpa)

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