The acquisition of Opel/Vauxhall by the French group PSA will mark to the automobile sector in the year 2017. When in September the German firm and its English replica control becomes effective, the French conglomerate will become the second manufacturer of cars in Europe and therefore it will improve its strategic sector position. In addition, thanks to the critical mass that will have expansion plans may be reality world that were around in the head of Carlos Tavares, CEO of PSA.
The industrial synergies that are born of the merger of Opel/Vauxhall with the PSA group are encrypted in some 1,700 million € uros per year. However this saving will not be instantaneous as it is estimated that it will arrive as soon as for the year 2026. Therefore, if Carlos Tavares is capable of these numbers to add, the 2,300 million €uros which has cost them to do with Opel, would be amortized in about two or three years.
Having as Roadmap maximize investment and minimize the costs of development and manufacturing, we have that the PSA group needs to start its expansion plans now world. This is what Jean-Philippe and Robert Peugeot (direct heirs of founder of the eponymous firm Armand Peugeot) declared the Middle German Welt Am Sonntag.
As declared to this medium the acquisition of Opel “will allow the group to conquer the rest of the world step by step”. In addition, have spoken of the important thing is the critical mass to be viable in the sector, since “all the big automobile manufacturers have a volume of three million cars remain an important market for both”.
Robert Peugeot has much to say of this acquisition is the current Chairman of the strategy Committee of the PSA group. He referred to “the addition of Opel and Vauxhall to the portfolio of the Group’s brands will not have a negative impact on the sales of Peugeot and Citroen models”. The reason given is that markets where Opel is selling well its Peugeot and Citroen products do not succeed and instead also same thing happens.
If we take these statements as facts, we have the PSA group will perform in the coming years high investment to achieve the most important world markets. Now you have to see which positioning give you to Opel in the Group to find out the strategy that will continue.
Source – Welt Am Sonntag