Auto Parts Supplier Magna Bids For Control of Chrysler

Canadian auto supplier Magna International Inc. has reportedly teamed up with a private equity firm to submit an offer for DaimlerChrysler AG's Chrysler Group that values the Auburn Hills automaker at between $4.6 billion and $4.7 billion.

Magna is seeking to take a 20 to 25 percent stake in Chrysler, Brett Hoselton, auto analyst at KeyBanc Capital Markets, said in a report issued Friday. He cited unnamed sources and did not identify Magna's private-equity partner.

DaimlerChrysler and Magna officials were not immediately available for comment.

"Our sources indicate DaimlerChrysler is very interested in divesting itself of Chrysler," Hoselton wrote. "They also indicate that Magna and a private equity partner have written a joint letter of interest offering to buy Chrysler for roughly $4.6 billion-$4.7 billion."


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izfuney - 3/24/2007 3:46:03 PM

+1 Boost

On other news. Penthouse Media Group bids for Chrysler Auto with $1 Billion and a free 3 yr subscription to Penthouse for shareholders ..

As one time chairman emeritus Bob Guccione and our correspondant said "It makes sense and synergy for Penthouse to buy the company whose UAW employees buy most of our magazines .. I mean if they jerk off as usual while building substandard cars they might as well jerk off with Penthouse magazines..." .


If successful, Penthouse media is putting together a war chest (no puns here) to buy out GM ..