DETROIT -- Saturns 350 franchises in the United States will receive letters this week offering them a chance to continue under the brands new owner, Penske Automotive Group Inc.
Automotive entrepreneur Roger Penske on Friday signed an agreement to purchase Saturn from General Motors by the end of the third quarter.
The letter should arrive Tuesday, Saturn spokesman Steve Janisse said today.
This doesnt require them to sign an agreement, Janisse said. Its just an informational piece talking about the terms of the sale and offering them an opportunity to transition to this new owner.
Janisse said Saturn waited to provide dealers with information about how to go forward with the company because it had to first secure a memo of understanding with Penske.
If Saturn dealers choose not to proceed, then theyll go into a termination mode. Janisse said terms of those dealerships wind-downs are still being determined.
Penske and Saturn have a 60-day due diligence period and will have to meet certain requirements tied to GM's Chapter 11 bankruptcy reorganization.
Penske's dealership group is the exclusive U.S. distributor of Daimler AG's Smart mini-cars. Janisse said Saturn would be run independently from the Smart operations.
GM and Penske declined to reveal the purchase price. A Bloomberg News report, citing a person familiar with the negotiations, put the figure between $100 million and $200 million.