Reuters: SAICO Plans on Having a Share in GM

On Sunday, an insider announced that the Shanghai Automotive Industry Corporation (SAIC), the leading automaker Company in China, reported earlier that it would be buying a stake in General Motors Company (GM), an American auto manufacturer, whenever GM puts its stocks for sale. This news came after GM's announcement that it would be divesting part of its stakes, by November 2010.

Reuters was the first source to report the deal with SAIC on the 18th of September. According to Reuters, SAIC will not be making acquisition of a huge portion, as it is planned to be only a 'single-digit' share. Reuters did not openly identify the source of its information.

The stake that SIAC intends of buying would be of the 61% of GM owned by the U. S. Treasury. The Government stated on its official website that it expects investors from all across the country, but mainly from North America.

SAIC's Spokeswoman, Judy Zhu, texted this morning through her mobile phone, saying, "SAIC is closely watching the progress of a GM IPO. As a strategic partner of GM, SAIC wishes the success of the GM IPO".

However, Renault SA-Nissan Motor Corporation said that it is not interested at all in investing in GM.