Peugeot moves forward, on its way to buy General Motor’s Opel

France’s PSA Group is going to announce a deal to purchase Opel from General Motors on Monday after striking an agreement with the American automaker and winning the blessing of its board for the acquisition.

The maker of Peugeot, Citroen and DS automobiles stated on Saturday it would hold an early Monday interview with General Motors, at which the deal is expected to be presented after it was reported that a deal been struck between both companies.

By obtaining Opel, the French group will leapfrog competing Renault to become Europe’s second biggest automaker after Volkswagen by market share. Between them, PSA and GM Europe recorded 71.6 billion euros ($76 billion) in income and 4.3 million vehicle deliveries in 2016.

The tie-up was authorized on Friday by the PSA supervisory board, on which the French government, Peugeot family and China’s Dongfeng are represented as shareholders, one source with understanding of the matter stated.

Spokesperson for PSA and Opel refused to discuss further.

Both automakers, which presently share some production in a present European alliance, confirmed last month they were working out an outright acquisition of Opel and its British Vauxhall brand by Paris-based PSA, triggering extensive issue over possible job cuts.

In their jointly provided invitation to a Paris press conference at 0815 GMT on Monday, PSA and General Motors provided no sign of its topic. Separate instructions for the German press and Opel unions are anticipated to be held the same day.

Sources near to the talks had reported development on Thursday after the companies narrowed differences on a near-$10 billion Opel pension deficit and other concerns. GM’s European arm recently published a 16th successive year of losses.