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A Chinese automaker has offered to buy a stake in General Motors unit Opel, challenging a deal from Canadian auto parts supplier Magna, sources said on Friday. State-owned Beijing Automotive (BAIC) has submitted an indicative, non-binding offer for Germany's Opel, sources familiar with the situation told Reuters, and would make a binding offer by mid-July.
The news comes ahead of a Friday deadline for GM lawyers to submit papers to US federal bankruptcy Judge Robert Gerber who will rule by July 10 on a plan to create a "new GM" with brands Chevrolet, Cadillac, Buick and truck unit GMC. Magna, backed by Russian partners, is the frontrunner to buy Opel. Sources told Reuters on Thursday that Magna's board of directors wants to approve a business plan for Opel on July 7.

Copyright Reuters, 2009

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