Magna to acquire Opel as fears mount over UK jobs

General Motors is today (June 1) expected to file for bankruptcy, while the German Government is set to agree a deal for Magna International to takeover its European arm.

The main concern in the UK now is the future of the 5,000 workers at GM Europe’s two Vauxhall plants. Magna International, the Canadian auto parts company, is yet to reveal what it plans to do with the Luton and Ellesmere Port operations.

A formal announcement of Magna’s takeover of Vauxhall and Opel is expected imminently, and will see it spared from following GM in the US into bankruptcy.

US President Barack Obama is expected to hold a news conference today and detail the Administration’s plans to provide GM with $30bn (£18.5bn) in new funding. It will be in addition to the £20bn it has already received in state aid.

Meanwhile, a US court has approved the sale of Chrysler’s assets to the Fiat-led consortium. It will see the latter taking a 20% stake, while 68% will be held by a healthcare trust aligned with the United Auto Workers union, and 12% by both the US and Canadian governments.

Latest from Marketing Week


Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now


Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.


From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.


Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3703 or email

If you are looking for our Jobs site, please click here