Citing “sources with knowledge of the matter”, the publication states that board of PSA Group, which makes the Peugeot, Citroen, and DS Automobiles brands, approved the deal on Friday, and that an official announcement was planned for Monday. Spokespeople for PSA and Opel declined to comment on the matter.
On February 14, Paris-based PSA Group, which runs the Peugeot, Citroen and DS marques, confirmed that it was negotiating the purchase of GM’s European Opel business, which includes Vauxhall. The confirmation of negotiations sparked concern over job cuts in France, Germany, the United Kingdom and Spain. The deal would create the second-largest carmaker by sales volume in Europe behind Volkswagen. As part of an alliance formed in 2012, the two carmakers already share some production in Europe.
Opel leadership postponed a town hall meeting scheduled for Friday until Monday morning, stating that they were not at liberty to discuss details of the rumored deal.
PSA chief executive Carlos Tavares believes that a complete buyout of Opel furnishes his firm with a chance to “create a European car champion” that would exceed 5 million annual vehicle sales. As part of the acquisition, PSA would overhaul the Opel vehicle line with its own platforms, powertrain, and technologies in an effort to facilitate rapid savings, which sources have stated to be in the range of 2 billion euros ($2.1 billion USD).