GM Says Opel Sale to PSA Could Be Completed by July 31

General Motors Co. says the planned €2.2 billion ($2.5 billion sale of its Adam Opel unit to PSA Group could be completed by the end of next month.

The companies agreed to the sale in March. Until now, they have indicated the deal would be completed by the end of 2017. A union source tells Reuters the potential for a speedier finale was made possible last week when GM signed contracts that protect Opel’s factory jobs for three years.

Reuters’ sources says GM also guaranteed funding for Opel’s pension liabilities at the time of the sale. PSA shareholders overwhelmingly approved the acquisition last month. The merger will make PSA Europe’s second-largest carmaker, after Volkswagen AG.

PSA says that adding Opel will help the German brand expand outside the European market. The French carmaker has said it could begin selling Opel models that it helped develop with GM as early as next year.