GM talks with Mahindra, others on Hummer: sources
Thursday July 31, 12:20 pm ET
By Jui Chakravorty Das
NEW YORK (Reuters) - General Motors Corp (NYSE:GM - News) is in talks with Indian automaker Mahindra & Mahindra Ltd (Bombay:MAHM.BO - News) and automakers in Russia and China about selling its Hummer brand, sources familiar with the matter said
One source close to the discussions said Mahindra is not very interested at this time as it has plans to launch a small sport utility vehicle in the U.S. market next year.
Mahindra would like to launch that SUV under its own brand and has signed up more than 300 dealers to distribute the vehicle. But talks with GM -- still in initial stages -- are continuing, the source said Thursday.
GM declined comment. Mahindra was not immediately reachable for comment.
The sources did not name the Russian and Chinese companies talking with GM.
GM, which has said it will try to raise up to $4 billion through asset sales, has hired consultants and investment bankers to review the Chinese market for potential buyers for GM assets, one of the sources said.
The struggling U.S. automaker, which has lost more than $51 billion over the past three years, said in June it was reviewing its Hummer brand, which has hurt GM's image at a time when consumers are demanding more fuel efficiency.
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