VAUXHALL’S Ellesmere Port plant will not be axed and the company’s famous old brand-name will live on.
These assurances have come from one of the concerns bidding to take over General Motors Europe, which includes Vauxhall and its German sister-company, Opel.
The race to buy the motor giant is now down to just two bidders – Canadian-based car parts manufacturer Magna and Belgian-based venture capital group RHJ.
A final decision on the successful suitor is due to be announced soon after a decision is reached by GM in the United States, the trust which now runs the European operations it the German government, which will put in a substantial slice of cash to safeguard Opel’s future.
Vauxhall employs around 5,000 UK staff at Ellesmere Port and Luton in Bedfordshire.
Hundreds of the 2,000 who work at Ellesmere Port are from Wrexham and Flintshire.
There have been fears a new owner could close both UK plants.
But the chief executive of RHJ International, Leonhard Fischer, told a Sunday newspaper yesterday: “We are very strong supporters of both these plants and of the Vauxhall brand. We want to keep a strong industrial and brand footprint in the UK.”
Mr Fischer plans to lay off 10,000 of GM Europe’s 58,000 staff but said job losses would be spread across the company’s operations.
RHJ has offered to pay 275 million euro (£234 million) for the business, and has asked the German government for up to 3.8 billion euro (£3.2 billion) in loans.
The British Government could also contribute to the deal, it is believed.
A spokesperson for Magna said: “The talks are continuing and Magna is confident of reaching an agreement.
“In recent days we have made good progress in resolving the outstanding issues.”
It is believed that a high-level meeting is due to be held in Detroit, USA today between the chief executive of GM, Fritz
Henderson, and his opposite number at Magna, Siegfried Wolf, which is seen as indicating further progress with discussions.