The fling between General Motors and PSA/Peugeot-Citroën isn't kaput, but the flirting couple has separated its finances. Just a day after announcing its intention to divest itself of its seven-percent stake in the French automaker, GM had done so, getting 250 million euros ($342M US) for it. That would represent a loss of between $48 million and $71 million for the 21-month partnership.
It was a rocky romance, with the yin of a jointly developed compact platform and further integrationovercome by the yang of a share writedown and Peugeot's need for a bailout from the French government. Even though they keep separate bank accounts now, the two companies will continue working together on cost savings through joint purchasing and products like a subcompact MPV and a compact crossover.
The original tie-up envisioned a ten-year term, so there's still time to make something of it. You can read the brief press release on the matter from GM below.
It was a rocky romance, with the yin of a jointly developed compact platform and further integrationovercome by the yang of a share writedown and Peugeot's need for a bailout from the French government. Even though they keep separate bank accounts now, the two companies will continue working together on cost savings through joint purchasing and products like a subcompact MPV and a compact crossover.
The original tie-up envisioned a ten-year term, so there's still time to make something of it. You can read the brief press release on the matter from GM below.
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