Private equity group, Ripplewood, today publicly confirmed their interest in buying GM Europe, the European arm of US car and van giant General Motors. The euro-division of GM is on the market in response to the US parent company filing for bankruptcy in a bid to avoid complete collapse. It includes the recognised brands of Opel and Vauxhall, the latter being the UK name behind some of the best cheap vans to buy: the Vauxhall Vivaro van, Astravan and Vauxhall Movano van.
The latest bid means Lord Mandelson now has three bidders to play off against each other to secure the best possible outcome for the UK taxpayer and of course the future of the car and van maker. With around 5,000 jobs at Vauxhall alone hanging in the balance, it's a sale that Lord Mandelson hopes to do well from. The 5,000 jobs are split between the Ellesmere Port, Cheshire where the Astra car is made, and its Luton plant which manufactures the Vivaro van.
However, the three bids are not without complication with no one bidder prepared to take on the European business without state aid. With the British and German governments refusing to commit assistance in the absence of significant staffing commitments, the bids could yet fail to save the car and van makers of GM Europe.
