GM Submits Letter of Interest to Kia

General Motors Corp. said Monday that it wants to participate in the auction for Kia Motors Corp., but has not decided whether to submit a bid for the troubled South Korean car maker.

“We submitted a nonbinding letter to the CEO of Kia expressing our interest within the framework of the auction process,” GM spokesman Michael Meyerand said. “It’s not a commitment to make a bid, but simply put, we wanted to keep our options open.”

GM’s decision to send the letter does not affect the Detroit auto maker’s ongoing discussions with South Korea’s Daewoo Group about various joint production efforts and other automotive projects, Meyerand said.

In an auction process organized by U.S.-based Andersen Consulting, those interested in buying Kia must submit bids and deposits by Aug. 21. Kia creditors will announce the winner on Sept. 1.

Kia said Monday that the winning bidder will assume a controlling stake in Kia, in sister firm Asia Motors Corp. and in other affiliated companies.