GENEVA -- PSA/Peugeot-Citroen doesn't plan to buy a stake soon in alliance partner General Motors Co. because the French carmaker needs to conserve cash, CEO Philippe Varin said.
PSA isn't ruling out a possible purchase of GM stock in the future, Varin told journalists today at a Geneva auto show.
PSA doesn't expect its tie-up with Detroit-based GM to affect the French company's existing cooperation projects with Toyota Motor Corp., he said.
GM will pay about 320 million euros ($420 million) to acquire 7 percent of PSA. The two companies are forming an alliance for purchasing and vehicle development to reduce costs by about $2 billion annually within five years.