acquisition of Opel/Vauxhall by the French group PSA will mark the automotive sector in this year 2017. When in September is to enforce the control of the German firm and its replica English, the conglomerate gallen will become the second constructor of cars of Europe and therefore will improve its strategic position in the sector. In addition, thanks to the critical mass that will be able to realize plans of expansion all over the world that were around in the head of Carlos Tavares, CEO of PSA.
industrial synergy born of the merger of Opel/Vauxhall with the PSA Group are encrypted in some 1,700 million €uros per year. However, this savings will not be instant it is estimated that it will arrive as soon as to the year 2026. Therefore, if Carlos Tavares is capable of these numbers add up, the 2,300 million €uros that it has cost them to be done with Opel, would be amortized in about two or three years.
Having as a roadmap to maximize investments and minimize development costs and manufacturing, we have that the PSA Group needs start their expansion plans in world now. This is what Jean-Philippe and Robert Peugeot (direct descendants of Armand Peugeot, founder of the firm of the same name) has stated the average German Welt Am Sonntag.
have reported to this medium the acquisition of Opel “will enable the group to conquer the rest of the world step by step”. In addition, they have spoken of how important it is to the critical mass to be viable in the sector, as “all the large manufacturers of cars have a volume of three million cars being therefore an important market”.
Robert Peugeot has much to say about this acquisition as it is the current chairman of the Strategy Committee of the PSA Group. Have been reported “the addition of Opel and Vauxhall to the brand portfolio of the group will not have a negative impact on the sales of models of Peugeot and Citroën”. The reason given is that the markets where Opel is selling their product Peugeot and Citroën don’t make and the reverse is also the same thing happens.
If we take these statements as facts, we have that the PSA Group will perform in the next years high investments to reach global markets more important. Now there is that see what positioning you give to Opel in the group to know the strategy that will follow.
Source – Welt Am Sonntag