Fiat's takeover plans take shape

* Fiat interested in Opel takeover * In addition to Chrysler deal * Conditions attached...

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What Car? Staff
05 May 2009

Fiat's takeover plans take shape

Fiat's takeover plans which could mean it becomes one of the biggest car manufacturers in the world are in the balance.

The company has already announced an alliance with Chrysler, as part of a restructuring deal organised by the US Government that involves Chrysler filing for Chapter 11 bankruptcy.

Fiat has also announced that it is interested in buying a stake in GM's European division, which comprises Opel, Saab and Vauxhall. However, Saab will be sold separately, in a deal overseen by the Swedish Government.

However, the German Government has attached conditions to any Opel deal, according to The Financial Times. The paper reports that there may be a stipulation that any future Opel owner would have to base the new company in Germany.

The Chrysler takeover isn't without complications, either. A group of Chrysler debtors are unhappy with the restructuring process and are attempting to block the Chapter 11 bankruptcy process, which protects the company from its creditors, putting the proposed Fiat alliance in doubt.