Italian car maker Fiat looks like it could be moving in to make a bid for Opel. Fiat’s boss is due to hold talks with the German government on Monday when it is thought those negotiations could get into gear.

Sergio Marchionne has described Opel as an ideal partner adding that it was now time to concentrate on the German carmaker. Opel has declined to comment on the reports but has indicated that parties, other than Fiat, are also interested. Even though Opel’s been owned by US auto giant General Motors for 80 years, talk of a deal is a sensitive issue in Germany as it employs more than 25,000 people. Hot on the heels of a partnership with Chrysler, analysts say buying into Opel will make the group second in Europe in terms of sales. But others are sounding alarm bells warning that such a partnership is over ambitious and that Fiat risks overstretching itself.More about: Car industry, Fiat

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