Chrysler LLC will ask its bankruptcy judge tomorrow permission to sell of most of its assets by May 22, a person familiar with the matter told Bloomberg.
Chrysler will also ask that any creditor objections to the plan be submitted by Mary 11, the person said, asking not be identified because of the confidentiality of the plan until it is announced, the report stated.
A new entity which has not been named will offer $2 billion for most of the Chrysler’s assets.
Chrysler is planning to create an alliance with Italian carmaker Fiat SpA and is working under bankruptcy protection because of opposition from some of its secured lenders, Bloomberg reports.
After receiving approval by May 9, Chrysler will receive competing bids by May 20, with the sale completing by June 27, the person said.