The €2.2bn takeover of GM’s loss-making Vauxhall-Opel business by France’s PSA, the maker of Peugeot and Citroën, “should be welcomed”, says the Financial Times. Selling “clearly makes sense” for GM – the last time Vauxhall-Opel made a profit was in 1999. PSA hopes to return it to profit by 2026.
But, while there are certainly “advantages in scale” and scope for “big savings” for PSA, says the FT, it is “hard to see” how it can deliver annual savings of €1.7bn “without cutting jobs”.
PSA has been playing down [...]