Paris: French automaker PSA said it promised British Prime Minister Theresa May on Wednesday to "develop" the Vauxhall brand if its plan to take it over succeeds.
In a phone conversation with May, PSA chief Carlos Tavares "expressed his willingness to develop further the iconic Vauxhall brand for the benefit of its faithful customers", PSA said in a statement.
A surprise announcement last week that Peugeot and Citroen maker PSA was eyeing General Motors' European brands Opel and Vauxhall prompted fears in Germany and Britain that the prospective new owner could cut non-French jobs if the deal goes ahead.
"Carlos Tavares presented the rationale to create the path to draw a new scenario for Opel, benefiting from the strong identities of five complementary brands, including Vauxhall, with deep roots in their respective domestic markets," PSA said.
"Mr Tavares reaffirmed its commitment to conduct this dialogue in accordance with existing agreements," it said.
The French economy ministry said it "backed the operation," which would create a "European leader with five complementary and emblematic marques."
But it said it would pay close attention to whether current engagements regarding jobs were respected.
May, meanwhile, "highlighted the historical importance of the automotive industry in (the) UK," it said.
PSA has been active trying to win agreement from Germany and Britain for the acquisition, and earlier Wednesday Chancellor Angela Merkel's spokesman said that she backed the takeover after talking with Tavares.
Opel operates some 10 factories in Europe spread across six countries, and had 35,600 employees at the end of 2015 -- 18,250 of them in Germany.
Founded in 1862, Opel, with its lightning-bolt emblem, has long been a familiar sight on German and European roads.
But in recent years the firm has booked repeated losses, costing Detroit-based GM around $15 billion (14 billion euros) since 2000.
A sharp fall in the pound since Britain's vote to quit the EU last June sank Opel's hopes of getting back into the black in 2016, and it ended up reporting a loss of $257 million.
Britain, where it sells vehicles under the Vauxhall brand, is Opel's largest European market.