The PSA Group won an unconditional approval from the EU antitrust authorities regarding the acquisition of Vauxhall & Opel from General Motors. This move will make PSA the second-largest automaker in Europe, behind the VW Group.
The $2.3 billion deal was first announced last March and will be completed ahead of schedule, with the original timeframe talking about the end of the year. This was made possible because GM formally agreed to protect factory jobs by signing binding contracts.
The deal also includes the acquisition of GM’s financial operations in Europe by BNP Paribas and PSA, which will be subjected to a separate review from EU antitrust authorities, with the decision expected in the second half of the year.
Patrice Lucas, Manager of programs and Group strategy said: “Today, we have taken a substantial step. The teams are now focused on the achievement of all other conditions necessary for the closing, planned for later this year”.
PSA aims to return Vauxhall & Opel to profit, targeting an operating margin of 2 percent within three years and 6 percent by 2026.