German minister: Fiat wants Opel deal without increasing own debt, would keep 3 German plants

Minister: Fiat bid would keep 3 German Opel plants

BERLIN — Germany’s economy minister says Fiat Group SpA wants to take over General Motors Corp’s Opel unit without running up debt and would preserve the three main German assembly plants if successful.

Economy Minister Karl-Theodor zu Guttenberg says after meeting Fiat CEO Sergio Marchionne that the deal would require short-term financing estimated by Fiat at some €5-7 billion ($6.6-9.3 billion) Europe-wide.

He described Fiat’s Opel concept on Monday as “interesting” but stressed that the government would have to examine it further before reaching a verdict.

Guttenberg said Fiat envisioned preserving the Opel brand and the GM unit’s three German assembly plants. However, he stressed that there was “a certain need for consolidation.”