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China conditionally OK's GM plan to buy Delphi
(Agencies)
Updated: 2009-09-29 11:07

SHANGHAI: The Ministry of Commerce has given a conditional green light for General Motors Co.'s plan to acquire portions of auto parts maker Delphi Corp, reports said Tuesday.

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Among other things, the ministry banned GM and Delphi from exchanging trade secrets about Delphi's other customers. Delphi is required to ensure it supplies parts to other automakers in a timely, reasonably priced and fair way, Xinhua News Agency and other reports said, citing a ministry statement issued late Monday.

The ministry set the rules, aimed at preventing the companies from restricting competition, following an anti-monopoly investigation into the deal.

The sale is part of Delphi's effort to emerge from bankruptcy after four years in Chapter 11 status by selling assets to GM and its lenders.

Delphi operates 17 wholly owned entities and joint ventures in China.

China's anti-monopoly law requires that mergers and acquisitions that could impact the domestic market undergo an anti-monolopy review.