German officials see Magna's Opel bid superior to Fiat's

23 May 2009

German official are finding automotive system supplier Magna International's offer for General Motors' German unit Opel more interesting that those submitted by other two bidders, Fiat SpA, and Belgium-based industrial holding company RHJ International.

Reports say that the two governors of the German states of Hesse and Thuringia favour Magna's bid.

Roland Koch, the premier of Opel's home state of Hesse said on German radio that the Magna offer was 'closest to the hopes and wishes' of German politicians and the 25,000 Opel workers based here. He called the Fiat offer disappointing. (See: Fiat is third in the Opel acquisition sweepstakes).

There is an ''interesting bid on the table,'' Koch told reporters at the sidelines of a meeting in Berlin. Thuringia's governor Dieter Althaus also voiced support for Magna's bid.

''The Magna concept focuses heavily on new ideas, new markets and new clients, while the others focus more on rationalisation,'' Koch said.

German chancellor Angela Merkel and Koch are due to meet in Berlin to discuss the bids.