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Exclusive: GM in talks to buy small Peugeot stake

    PEUGEOT
    22,080-3,73%
    PARIS/NEW YORK (Reuters) - General Motors Co is in advanced discussions to buy a small stake in French automaker Peugeot as part of their proposed strategic alliance in Europe, sources familiar with the situation said on Monday.

    Under the terms being discussed, GM would likely buy a stake of less than 5 percent in PEUGEOT (UG.PA) the sources said. A deal could be announced in the next few days, although sources warned a deal has not been reached and could still fall apart.

    GM declined to comment. A Peugeot spokesman did not immediately return calls and messages seeking comment.

    (Reporting by Christian Plumb in Paris, Philipp Halstrick in Frankfurt and Soyoung Kim in New York; Editing by Phil Berlowitz)

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