Magna looks set to win GM

THE GERMAN government has swung behind a bid from Canadian firm Magna for GM Europe, the owner of Opel and Vauxhall, which is up for sale as its parent company GM looks to sell the division.<br /><br />Chancellor Angela Merkel said the offer from auto parts supplier Magna was the best solution, disappointing rival bidders RHJ International, from Belgium, and China&rsquo;s BAIC.<br /><br />None of the bidders has gone public on how many jobs cuts they would make, but 5,000 positions at GM&rsquo;s Vauxhall sites in Luton and Ellesmere Port are under threat from the takeover.<br /><br />Business secretary Lord Mandelson has promised to &ldquo;fight for every job&rdquo; at the UK sites.<br /><br />Berlin has offered &euro;3bn (&pound;2.6bn) in loan guarantees to the eventual owner of GM Europe, sparking fears that German jobs will be prioritised over those in the UK.