Home » Industry News » Report: GM Stipulating Non-Compete Clause as Part of Opel Deal with PSA
Report: GM Stipulating Non-Compete Clause as Part of Opel Deal with PSA

Report: GM Stipulating Non-Compete Clause as Part of Opel Deal with PSA

 Source:Reuters | Publication date: Feb 24, 2017 | Author(s):Maria Sheahan

According to a report in German weekly news magazine Der Spiegel, General Motors is demanding that PSA Group commit to a non-compete clause in a licensing agreement for the manufacture of Opel vehicles. Territories covered by the stipulation are said to include China, North America and Russia.

While the magazine did not disclose the source of the information, it maintains that the agreement would only involve existing vehicles such as the Ampera-e but would not affect new models developed following a tie-up.

Neither PSA nor Opel have responded to the report.

On February 14 it was announced that GM and PSA were negotiating the terms of a deal in which the French automaker would acquire Opel. Should the deal be finalized, the combined PSA-Opel operations would rank second only to Volkswagen in European auto sales.

Read full article at: Reuters »





 
Thoughts?! We're all about community! Sound off in the comments, share your review or join the discussion in our forum.

Leave a Comment

 Latest Forum Messages
  1. member12
    Tone
    It does make it sound like GM is happy to walk away from Europe, leaving that to PSA, but wants to ensure that PSA doesn't export products to growth or key markets for GM (China, North America).


    They really don't want anyone in China. GM is very aggressively expanding there.

    They are going to want to keep them out of China, Russia, and the entire western Hemisphere.
    arutherford
    China would be a killer for Opel.
    Tone
    It does make it sound like GM is happy to walk away from Europe, leaving that to PSA, but wants to ensure that PSA doesn't export products to growth or key markets for GM (China, North America).
    Dequindre
    I imagine this is typical protocol in most deals like this.
    nsaporito
    This isn't that odd of a request in an acquisition.
Welcome to AutoVerdict: News, Reviews, Community