GM reportedly in talks for stake in Peugeot

2/29/2012

PARIS -- General Motors Co. is in advanced discussions to buy a small stake in French automaker PSA Peugeot Citroen as part of their proposed strategic alliance in Europe, sources familiar with the situation said Monday.

Under the terms being discussed, GM would likely buy less than 5 percent in Peugeot, the sources said. A deal could be announced in the next few days, although sources warned that talks could still fall apart.

A GM spokesman declined to comment. A Peugeot spokesman did not immediately return calls and messages seeking comment.