Car News – GM approves sell for majority ownership of Opel brand.

The Opel Astra

Last week we reported that General Motors was close to an agreement to sell the prized Opel brand to Magna International.  This morning now, the GM Board of Directors announced that it has closed the deal with them to sell majority ownership.

The plan, which calls for Magna International, a Canadian firm, to assume 55 percent control of the company while GM will get 35 percent and the employee’s get 10 percent.  Opel will still have close ties to General Motors, which is sharing it’s technology for the Chevy Volt to the Opel Ampera.

“The hard work over the past two weeks to clarify open issues and resolve details in the German financial package brought GM and its Board of Directors to recommend Magna/Sberbank,” said Fritz Henderson, GM President and CEO.

“We thank all parties involved in the intensive process of the last few months – especially the German government – for their continued support that enables this new venture.  I’d also like to thank the Opel and Vauxhall customers for their continued loyalty.  GM will continue to closely collaborate with Opel and Vauxhall to develop and produce more great cars, such as the new Insignia and the new Astra”.