Report: Onex, Magna eyeing joint Chrysler bid

Reuters / April 11, 2007 - 9:00 amTORONTO (Reuters) -- Two prominent Canadian businessmen may make an offer for the Chrysler group, a national newspaper said today.

The Globe and Mail, citing people familiar with the sales process, said Onex Corp.'s head Gerald Schwartz and Magna International's Frank Stronach are working on a joint bid for the automaker.

The paper said the combination would match Magna's expertise in auto manufacturing operations with Onex's skill in financial operations, key to running Chrysler's finance arm.

The offer price for the unit is unclear, the paper said, but there have been suggestions that Chrysler has determined a price of at least $8 billion.

The only offer that has been made public so far is a $4.5 billion cash offer from U.S. investor Kirk Kerkorian.

Others believed to be considering a bid are private equity firms Blackstone Group LP and Cerberus Capital Management LP.