Bid to Buy Holden Plant for Electric Car Production Denied by GM

A bid to build future electric cars at former Holden plant has been rejected by GM.

The idea was proposed by British billionaire, Sanjeev Gupta, who wanted to build electric cars based on the i-Stream platform, which was designed by Gordon Murray, the man behind the McLaren F1.

The factory in question, Holden Elizabeth assembly, shut down in October 2017 and the plan to build electric cars received the support of the South Australian government.

“We believe that the GFG Alliance’s plans would put South Australia at the forefront of the inevitable transition of the Australian market to electric vehicles,” wrote Tom Koutsnatonis, South Astralia’s treasuerer. “[We] ask that all due consideration be given to their bid and the potentially significant benefits to the automotive industry and broader community in South Australia.”

GM assessed the bid from Gupta’s business, GFG Alliance, but the two parties were reportedly never even close to making a deal, since many of the assets that would have been necessary for the factory to work were already being moved to other plants.

“GFG Alliance’s proposal to purchase selected manufacturing assets was comprehensively assessed by GM and Holden and the decision was taken not to proceed with the offer,” said a Holden spokesperson.

There were hopes, though, for an agreement, since turning failing businesses around is kind of Gupta’s thing.

Famous for purchasing 20 steel, automotive, and engineering plants in Britain at reduced rates, Gupta then turned them around, making himself a fortune in the process.

[via: GM Authority]