By Dow Jones Business News,
January 07, 2014, 10:31:00 PM EDT
Minivan maker SAIC-GM-Wuling Automobile Co. is planning to buy into General Motors Co.'s ( GM ) India operations, the
21st Century Business Herald reported Wednesday, citing an unnamed source at SAIC-GM-Wuling.
GM owns 44% of SAIC-GM-Wuling, in which SAIC Motor Corp., China's largest auto group by sales, has a 50% stake and
Liuzhou Wuling Motors Co. owns the rest.
The report said GM's India operations incurred a loss of more than $200 million in 2013. Officials at GM, SAIC and
SAIC-GM-Wuling weren't immediately available for comment.
"SAIC-GM-Wuling has contacted GM China for its plan to acquire GM's India business," said the report, citing the
source, adding the talks have been put on hold because of GM's recent restructuring of its international operations.
In November, GM split its China operations from its international operations which include Africa, Southeast Asia,
India, South Korea and the Middle East.
In 2009, GM teamed up with SAIC to expand its share of the Indian market through a 50-50 joint venture based in Hong
Kong. SAIC reduced its stake in the venture to 7% in 2012 after the partnership fell short of its expectations.
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