GM confirms no plans for more investments at PSA

Article by Anita Panait, on July 17, 2013

General Motors has no plans to make further investments in PSA/Peugeot-Citroen, GM Vice Chairman Steve Girsky reiterated to Bloomberg. He even called the speculation on intensifying the alliance between the carmakers a distraction. Girsky said that all he wants to do is get the current programs to work.

French dailies have reported that France has made a decision to hire an advisor bank for PSA/Peugeot Citroen. According to Le Figaro, France’s move indicates further ties between PSA and GM or with Dongfeng.

GM already invested EUR320 million ($418 million) in 2012 to acquire a 7-percent stake in PSA as part of an alliance that entails joint purchasing and vehicle development. Girsky is in charge of overseeing GM’s bid to curtail losses in Europe by mid-decade as well as and rebuild the Opel brand.

He was responsible to realizing the deal with PSA and was interim chief of GM’s operations in Europe until he hired former Volkswagen AG executive Karl-Thomas Neumann to lead Opel.

Girsky referred to comments by GM chief executive Dan Akerson in June in Shanghai that the carmaker has no plans to invest more money into PSA “at this time.” Akerson said by then that if they see something change, they “will re-evaluate that.”  PSA posted EUR5.01 billion ($6.5 billion) in losses in 2012, with EUR576 million in operating loss. The carmaker saw its first half sales drop 9.8 percent this year. Its shares also fell 38 percent this year through July 11, 2013.

Topics: gm, psa, investment

If you liked the article, share on:

Comments

Recommended

One of the executives at Volkswagen tagged in the so-called Dieselgate scandal has pleaded not guilty to a list of allegations surrounding the carmaker’s actions to cheat emissions regulations in...
by - February 27, 2017
When the Crown De Luxe saloon was first released in 1972, it was at that time the most lavish Toyota model available to British customers. Both unusual and exclusive, one...
by - February 27, 2017
The ride-sharing fleet of sharing Lyft Inc. will soon include thousands of specially fitted self-driving Chevrolet Bolt electric vehicles, courtesy of General Motors. If plans push through, Lyft’s clients would...
by - February 27, 2017
J.D. Power has officially released the 2017 Vehicle Dependability Study, an annual list of the most dependable brands in the auto industry. Once again coming on top is Lexus, the...
by - February 26, 2017
Citroen revealed that its entry to the Chinese market is moving forward with the planned release of the new generation C5. While still on sale on this part of the...
by - February 26, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries