Peugeot Citroen acquires Opel – French giant pays EUR 2.2 billion for German company

Peugeot Citroen has taken over the German Opel for EUR 2.2 billion, the companies confirmed. This acquisition will create the second biggest European car manufacturer after Volkswagen.

PSA Peugeot Citroen believes that Opel's 1.2 million cars a year will help reduce the expenditures for the development of new cars and their sale in a wider market. It is certain that the production capacities will be rationalized and that there will be layoffs.

The French giant is planning expenditure savings of EUR 1.7 billion by 2026.

Opel, which was founded in 1862, has been a member of the General Motors concern since 1929. Following the acquisition, General Motors will leave Europe, where it has been incurring losses since 1999.

In late 2015, Opel had ten factories in six European countries and 35,600 employees, of which 18,250 in Germany.

Peugeot

Citroen

Opel

Volkswagen

PSA

General Motors

car manufacture