Goal is to raise 400 million euros, or $511 million
Bob Grenville
Automotive Views
March 31, 2009 - 10:23 am ET
Ford Motor Company plans to raise 400 million euros ($511 million) to buy a minority stake in the troubled General Motors-owned brands.
Dearborn subsidiary, Precepta LLC is being used as a financial vehicle to establish a fund to take a stake in the brands. The company provides outsourced customer contact services to automobile manufacturers (primarily Ford), auto dealerships, and other companies in the automotive market. Its services include inbound and outbound call handling, customer support, telemarketing, and warranty administration. The company has eight call centers in the US, Canada, Europe, Philippines, and Australia. Formed in 2000, Percepta is a joint venture between outsourcing firm TeleTech Holdings and Ford Motor Company
GM Europe, which runs Germany's Opel and UK-based Vauxhall, is asking European governments for help to finance a 3.3 billion euro cash shortfall. The automaker has said it is open to discussions on partnerships or equity positions.
Percepta sources acknowledged that its fund, operating under it's Portuguese arm, Abril Tolo Piada Ltd would only raise enough cash to finance a minority stake in the automaker but said its plan would give a clear signal of support to governments, Opel/Vauxhall workers, and -- above all -- customers.
Opel/Vauxhall dealer associations in different countries will vote on the proposal in the coming weeks and a final vote will be held at the next Euroda meeting on May 15.
Euroda Chairman Jaap Trimmer said: "Opel/Vauxhall dealers have 125,000 employees and they are responsible entrepreneurs who want to preserve these jobs as well as their investments, on the face of it we are pleased Ford have moved to prop up our dealerships."
Last week, GM COO Fritz Henderson said that GM Europe would run out of money early in the second quarter if it did not receive financial support.
01-04-2009, 09:56 AM
Ford in bid for GM Europe
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