Peugeot open to new deals as turnaround attracts attention

French automaker PSA Group is open to new industry tie-ups and is drawing attention from rivals after its lightning turnaround and quick progress in restructuring recently acquired Opel, Chief Executive Carlos Tavares stated.

The maker of Peugeot cars, which came close to bankruptcy in 2013-14, has recovered under Tavares to record levels of success. The group posted a 7.8 percent first-half operating margin as it returned Opel and its British Vauxhall brand to profit less than a year following acquisition of the business from General Motors.

“Some of our rivals are looking at us with different eyes,” Tavares informed Reuters on Tuesday in an interview at the Paris Motor Show.

“If somebody needs a partnership, if we are in good shape, if we have the technology, if we are rigorously managing our company, and somebody is knocking at the door saying ‘we need your support and we would like to have a partnership with you’, we are open for business.”

While PSA is focusing on its own operational strategy, Tavares stated, deal opportunities may increase as other manufacturers struggle with tightening emissions regulation and rising investment and technological demands.

“If we accumulate wealth and good financial results, we may, at some point in time, be dealing with an opportunity coming from breakdowns in the industry,” he stated.

“As we have always said, we will always consider opportunities.”