GM purchases GM Strasbourg in the framework of conciliation proceedings
Clients General Motors Company
Jones Day has advised General Motors Automotive Holdings, S.L. and General Motors Holdings LLC on the occasion of the purchase of the entirety of the share capital of their former facility, General Motors Strasbourg S.A.S (GM Strasbourg).
The purchase was carried out in connection with conciliation proceedings held before the Strasbourg Civil Court (Tribunal de Grande Instance), which proceedings have enabled to ensure the continuation of an industrial site with approximately 1,150 employees. The amount of the transaction remains confidential.
This purchase follows an agreement for the purchase of the Strasbourg site entered into on July 30 of this year between General Motors Automotive Holdings, S.L (GMAH) and Motors Liquidation Company (MLC), formerly General Motors Corporation (Old GM).
GM Strasbourg develops and manufactures automatic transmissions. The site has the availability of the first R&D center in Europe in this field. The site manufactures approximately 300,000 gear boxes a year with BMW and General Motors as customers.
GMAH is an indirect wholly owned subsidiary of General Motors Company (GMC or New GM), the new company formed in connection with proceedings under Chapter 11 held before the US Bankruptcy Court of New York.