China’s leading carmaker SAIC Motor Corp has denied signing of any formal agreement to acquire General Motor’s Halol plant
in in the western Indian state Gujarat, company’s Indian representative informed.
"SAIC Motor Corporation has seen some reports in the media about SAIC signing an agreement with GM to take over its Halol Car Manufacturing Plant. It is clarified that SAIC has not signed any formal agreement with GM for the Halol Plant,” SAIC repetitive said in an email.As reported by ETAuto earlier SAIC's Halol Plant deal remains subject to GM’s submission of all government approvals, settlement of labour and all other pending issues by GM.
However, few months back, SAIC signed a term sheet to evaluate the Halol Plant which has been conveyed in a filing to Shanghai Stock Exchange, SAIC being a listed company there.
SAIC's decision to enter into the Indian market remains unchanged and the company continues to evaluate various options to set up a car manufacturing plant in India as early as possible."General Motors
India also said that the talks with SAIC are progressing but the deal has not concluded and nothing has been signed officially.
ETAuto already broke the story on SAIC’s plans for India. The Chinese auto major has already registered MG Motor India to sell vehicles with an "MG" tag in India. The company has already appointed eight board of directors which includes two India. It has made few appointments in HR, finance and IT departments.
SAIC had made an effort to enter India as early as in 2010, in an alliance with General Motors. The duo had planned to introduce five Chinese models, including a small car, a sedan and light trucks. The project was subsequently shelved.
GM is in the process of consolidating its operations in India and had announced that it would shut down operations at Halol and focus on the other plant at Talegaon, Maharashtra.