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Opel Delays PSA Takeover Amid Concerns From R&D Employees

Opel and Vauxhall remain a part of General Motors’ (dwindling) global empire for the time being. The brands’ new owners, France’s PSA Groupe, are on schedule to take control of the European subsidiaries by the year’s end.

But, now, that’s been delayed, according to Business Day. Opel employees have reportedly delayed the takeover process amid concerns previous contracts and agreements upheld with GM will not be honored by PSA Groupe. Notably, it concerns Opel’s research and development center.

The R&D center employs around 7,700 workers and develops a multitude of things from engines, to car technology and more. Employees want to make sure a previous agreement is guaranteed between Opel and GM—stating PSA will continue to commission new projects from the research unit for the next three years.

“We are on a good path regarding the transition, although there are still some open questions to be cleared up,” Opel communications chief Michael Goentgens stated. “We expect the merger with PSA to be completed in the second half of 2017,” he added.

General Motors agreed to sell Opel, Vauxhall and the majority of its European operations for $2.3 billion to PSA Groupe this past March.

Former GM Authority staff writer.

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Comments

  1. So, Opel have stay within GM, stop the operation of selling Opel.

    Reply
  2. This was a short sighted, disaster of a sale intended to please Wall Street.
    The incredible shrinking GM will, in a few years, either enter into the Renault Alliance, as spoken about in 2006, or be bought out by China.

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    1. In 1950’s, it was the same guys which wanted the Stubaker-Packard’s merger because it was the “best ruling”…

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    2. Why not stay in a collaborative alliance with PSA, especially in the area of LCVs? (
      LCV = Light Commercial Vehicle). Opel will manufacture cars for GM for a couple of years, and produce cars with architectures developed inside GM.

      Reply
  3. According to an June 2 DPA news bulletin, the company and the Union have reached an agreement to secure the jobs in the ITEZ development center until 2020. There is also a sentence in the article which sounds as if there are still enough development projects ordered by GM providing work until 2020.

    one of those, I might add, being the development and production planning of the “big SUV” to be produced from the end of the decade on as “the second flagship” on the side of the Insignia.

    Factory assemblies originally scheduled for the week just passed had been postponed but are now rescheduled for the coming week (Monday June 5 is a national holiday in Germany).

    Reply
  4. Independently from this, on May 31, PSA has submitted to the European Commission the official application to approve the takeover of Opel. The EU commission has time till July 5 to decide.

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    1. I’ve always said that PSA and GM need to form a Renault-style alliance focused on architectures, purchasing, R&D. With GM out of Europe this becomes an even more achievable objective with GM being fyel efficient Corsa like product for Latin America.
      I hope that the “big” Opel SUV can somehow fit into the Buick line up. There is no reason why PSA should object to additional scale via Buick varients. Another SUV would get Buick near 25,000 units monthly.

      Reply
      1. Both PSA and GM have a long history of co-operation with other automakers.

        GM with automakers from Japan: founded NUMMI with Toyota (where now Tesla cars are assembled), with Suzuki, with Isuzu, with FIAT in Europe. Currently what is still GM Europe is cooperating with Renault on manufacturing light commercial vehicles (Vivaro and Movano).

        PSA had a cooperation with BMW, and is still cooperating with FIAT marketing the badge engineered Citroën Jumper and Peugeot Boxer produced also as FIAT Ducato and Ram ProMaster. With Toyota by building the Citroën Jumpy and Peugeot Expert also as Toyota ProAce, and in the joint venture TPCA in Kolin, Czech Republic, building three versions of the smallest cars Toyota Aygo, Citroën C1 and Peugeot 108.

        PSA and GM have cooperated developing the Opel Crossland and Grandland as well as the coming successor of Citroën Berlingo and Peugeot Partner without a capital relationship.

        Why shouldn’t they continue?

        Reply

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