New General Motors to acquire Indian operations
Beleaguered General Motors on Tuesday said it will acquire its strongest operations, including the Indian business, once the company steers itself out of bankruptcy.autos Updated: Jul 07, 2009 19:54 IST
Beleaguered General Motors on Tuesday said it will acquire its strongest operations, including the Indian business, once the company steers itself out of bankruptcy.
General Motors, which went bankrupt on June 1, has received the approval for its restructuring plan from the
US Court. After closing of the transaction, the new GM will be known as General Motors Company.
"The new company will acquire GM's strongest operations. They include GM subsidiaries outside the United States, including its operations in India and rest of the Asia Pacific region, which will continue to operate without interruption," General Motors India (GMI) said in a statement on Tuesday.
The new GM would have a stronger balance sheet allowing it to reduce its risk, operate profitably and reinvest in key areas such as product development, it added.
"The new GM will have a very positive impact on GM's operations in India as well. It will enable us to continue to take advantage of our company's global resources through the introduction of exciting new products and the continued commitment to our expansion plans for India," GMI President and Managing Director Karl Slym said.
He said the future plans for the Indian operations are on track and the company would go ahead with its proposed launch of a luxury sedan and a mini car within this year.