GM Tries To Salvage Opel-Magna-Sberbank-GAZ Deal

Wasn’t losing their precious intellectual property to the Rooskies the biggest beef GM had with the Opel-Magna-Sperbank deal? Wasn’t it clear that Sperbank wanted to sell its shares to GAZ? Wasn’t GM trying to block this deal by inserting a buyback clause? Now that GM has decided to keep Opel, those fears have evaporated. In the so far strangest twist in the Opel soap, GM is busy trying to salvage exactly the oddest part of the deal: The Opel-Magna-Sberbank-GAZ deal.

The DetN, the unofficial in-house organ of GM, reports (without flinching) that GM officials “still hope to negotiate an agreement with Magna and Russian automaker GAZ. A source familiar with the situation said GM has already contacted Sberbank.” Exactly. The same bank that is owned by oligarch Oleg Deripaska who had his US visa canceled amidst allegations of money laundering and organized crime. And who had to cut a deal with the FBI to be allowed back into the country. And who, according to the New York Times, “has repeatedly denied media reports that he had acquired a major stake in U.S. car maker GM.”

“I see us being able to pick up with Magna and GAZ and continue to try to develop this business –but obviously now as part of a GM-retained Opel, not as part of a Magna-Sberbank consortium,” said GM Group Vice President John Smith, who was the chief negotiator of the Opel deal. Warren Browne, a former head of GM Russia, also is positive that GM can work something out with the Russians: “The end of the Opel deal does not preclude GM from continuing to help GAZ with Magna’s support.”

Surprisingly, everything is lovey-dovey between Magna and GM. They just started a mutual admiration society. “We’ll continue to support Opel and GM, and hope our business will continue to grow with them,” said Magna Co-Chief Executive Don Walker. In return, John Smith heaps praise on Magna: “Magna is among GM’s best suppliers. We like them. We continue to be their largest customer.” What a lovely couple.