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BERLIN (AP) &<51; The European Commission voiced concern Friday over Germany&S217;s planned aid for a group led by Magna International to take a majority stake in the carmaker Opel and suggested that General Motors be allowed to reconsider the deal.
G.M. is expected to sell a majority of Opel to Magna, the Canadian auto parts maker, and a Russian lender, Sberbank, a consortium favored by Berlin, under a deal announced in September.
Germany offered aid worth 4.5 billion euros ($6.7 billion) to support the deal, and hopes other European countries that have Opel plants will contribute financing. Opel has its headquarters in R&>52;sselsheim, Germany.
The European Union&S217;s competition commissioner, Neelie Kroes, wrote to Germany&S217;s economy minister, Karl-Theodor zu Guttenberg, to voice her concerns about the aid, the union&S217;s executive commission said.
Ms. Kroes cited indications that aid promised by the German government to Opel &S220;was subject to the precondition that a specific bidder, Magna/Sberbank, was selected,&S221; according to a statement from Brussels.
Ms. Kroes indicated that such a precondition would be incompatible with state aid and internal market rules payday loans no teletrack.
She said G.M. &S220;should be given the opportunity to reconsider the outcome of the bidding process on the basis of firm written assurances by the German authorities that the aid would be available, irrespective of the choice of investor or plan&S221; to ensure Opel&S217;s long-term viability, the commission said.
The German Economy Ministry had no immediate comment.
The Magna-Sberbank bid beat out a rival offer from the Brussels-based investment firm RHJ International.
Under terms of the deal, the consortium would take a 55 percent stake in Opel, with G.M. keeping 35 percent and 10 percent going to employees.
Belgium called for the European Commission to investigate the deal amid concern that Germany may have sought to protect its own plants at the cost of others. The Magna plan calls for Opel&S217;s four plants in Germany to be kept open, but a factory in Antwerp, Belgium, risks being closed.
Berlin’s Plan to Aid Group Jeopardizes Deal for Opel
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