Magna CEO says not heard alliance talks with Geely
- Source: Gasgoo.com
- [13:49 September 23 2009]
- Comments
The co-chief executive of Canadian auto supplier Magna International said yesterday that he has not heard of his company's talks with China's Geely Group over a possible alliance on Opel, Reuters reported.
General Motors has agreed to sell a 55 percent stake in its Opel unit to a group led by Magna. Under the deal, Magna and its Russian partner, state-owned bank Sberbank, will each take a 27.5 percent stake. GM will retain a 35 percent stake and employees will hold 10 percent.
China's Geely Group has approached Magna about a potential production partnership on Opel, a source told Reuters last week. Talks between Geely Auto's parent company and Magna included the possibility of Geely taking a stake in Opel, but Magna has not agreed to such partnership yet.
"I'm not aware of anything with Geely, although I'm not involved in the discussions but I haven't heard anything," Magna co-Chief Executive Officer Donald Walker told a media briefing in Tokyo when asked if the company had held talks with Geely, Reuters said.
A spokeswoman for Magna's Japan unit said Walker's comment should not be interpreted as confirmation or denial that Magna held discussions with Geely. He is simply not aware of any talks between the two companies, she added.
