GM May Make Bid for Daewoo Next Week

General Motors Corp.’s board approved a takeover of South Korea’s Daewoo Motor Co. and will submit a proposal for parts of the country’s second-biggest auto maker as early as next week, the Seoul Economic Daily said.

Officials at GM and Daewoo Motor’s main creditor Korea Development Bank were not immediately available for comment.

Distributor, Daewoo Motor Sales Corp. shares rose by its daily 15% limit.

GM’s board decided to take over Daewoo Motor on condition that the Detroit-based auto maker can choose which assets to buy, the Hankyoreh newspaper said in a separate report.

One takeover method may see GM holding a 51% stake in a new company that will take over Daewoo Motor’s assets, with local creditors of Daewoo Motor owning the rest, the Chosun Ilbo and other newspapers said.