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Main » 2012 » July » 8 » PSA Peugeot Citroen will sell 7% stake in General Motors
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PSA Peugeot Citroen will sell 7% stake in General Motors
   French carmaker PSA Peugeot Citroen can sell shares to the American manufacturer of the 7% of General Motors co. plans to create an alliance between the two companies.
   According to the source agency Bloomberg, the deal would probably include the agreement under which the manufacturer, GM will not be able to increase their share of PSA PEUGEOT CITROEN may issue additional shares.
     Meanwhile, sources told REUTERS that GM will buy less producer 5% stake in PSA Peugeot Citroen. They said any bid would be "purely symbolic" and aimed only at strengthening the Alliance of the two companies. The current market value of Peugeot 4.8 billion. $ 5 per cent stake, will cost approximately 240 million. dollars.
   PSA Peugeot Citroen suffered from the decline of the auto market in Europe is stronger than other auto manufacturers. The company is trying to find ways to finance overseas expansion needed to reduce its dependence on stagniruûŝego internal market. For the American producer of GM Alliance will reduce operating costs in the old world, and Peugeot, in turn, hopes to gain access to international markets through a network of distribution of the American giant.
   In the event of the conclusion of the agreement, the European Division of GM and PSA Peugeot Citroen will jointly develop engines, transmissions and new model cars, which will then be sold under their own brands, the company said earlier a source knowledgeable about the negotiations between the companies.Peugeot sales in Europe decreased in the past year by almost 9% and GM nearly 2%. According to sources, the final agreements for an alliance between Peugeot and GM has not been achieved and the size of the stake to the French company, which will be sold, subject to change.

           
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