Kerkorian Ready to Buy Chrysler For $4.5 Billion

NEW YORK, April 5, 2007; Reuters reported that Tracinda Corp., the investment vehicle owned by billionaire Kirk Kerkorian, is prepared to offer $4.5 billion for DaimlerChrysler's loss-making Chrysler Group unit, the Wall Street Journal reported on its Web site on Thursday.

DaimlerChrysler acknowledged for the first time on Wednesday it was talking with prospective buyers about the Chrysler unit, but would not commit itself to selling the U.S. business.

Sources close to the situation have told Reuters that private equity groups Cerberus Capital Management [CBS.UL] and Blackstone Group [BG.UL] plus Canadian car parts group Magna International Inc. are frontrunners to buy Chrysler.