Cerberus is speeding up efforts to sell Chrysler LLC to GM. According to The Wall Street Journal, GM wants to get a deal done with Cerberus by the end of this month; however both parties are said to be far from having a firm decision. But it seems another key player has jumped in on the action.
Reuters is reporting that parts of Chrysler may be broken up between both Renault and GM. Renault has been in talks to deepen its relationship with Chrysler, which as of right now just includes sharing products and technology. Nonetheless, it seems GM is still favored over Renault.
All three companies have groups of teams working on analyzing the situation on hand. According to The Wall Street Journal, GM has identified about $10 billion in cost savings and access to $11 billion in cash that Chrysler has on its books. It is also reported that Cerberus wants to maintain its 80.1 percent stake in Chrysler after GM and Chrysler join forces.
Let’s not forget Cerberus also wants to increase its stake in GMAC up to full ownership of the finance company. We’ll keep you updated as this story develops. Stay tuned.
Source: Automotive News (Subscription Required)