GM Chinese Partner Suspends Shares, Says "Major News" Coming
Trading in the shares of China’s top carmaker SAIC Motor Corp will be suspended from February 14 pending a material corporate announcement, SAIC said on Friday.
SAIC, the Chinese partner of General Motors and Volkswagen, and owner of the MG Rover plant in Britain, said it has been notified by its holding company SAIC Group that it is working on a major plan involving SAIC and discussions over the proposal are continuing, it said in a filing with the Shanghai Stock Exchange.
SAIC said it expects to make an announcement regarding the plan in five trading days following the trade suspension.
SAIC owns about one percent of GM, it is the majority owner of its Shanghai-GM joint venture and controls GM’s Indian-market operations… in fact, the last time SAIC suspended shares this way was when it took over GM’s Chinese and Indian ventures. So, what’s next? The mind boggles…