German Economics Minister Karl-Theodor zu Guttenberg said Monday after a meeting with Fiat SpA's (F.MI) Chief Executive Sergio Marchionne that the Italian automaker wants to forge a global car alliance and plans to enter this new company free of debt.

Zu Guttenberg told reporters that Marchionne sees the need for consolidation if Fiat was to buy General Motors Corp.'s (GM) German unit Opel, adding that the brand's German assembly plants and German headquarters would be kept.

He said Opel's German components plant in Kaiserslautern and possibly other GM locations in Europe could be "affected" by a consolidation, without providing a specific figure on how many jobs would be at risk under Fiat's plan.

Zu Guttenberg said according to Fiat's estimates the overall need for bridge-financing for its planned alliance with GM Europe is between EUR5 billion and EUR7 billion.

German labor unions and several politicians oppose a possible Opel takeover by Fiat amid concerns over wide-ranging cutbacks. Analysts welcome the potential synergies to be created between Fiat and Opel but some remain wary about Fiat's financing as the Italian automaker is squeezed by a large debt burden.

On Sunday, Fiat announced plans to create a new global car giant comprising GM's European operations, its own auto unit as well as its interest in troubled U.S. automaker Chrysler LLC.

"Given the loss-making status of all three parts of the combination, the new auto business will need cash injections to be viable," said Sanford Bernstein analyst Max Warburton in a note, adding that Fiat's auto operations are loss-making when taking out Brazil.

Austrian-Canadian auto parts supplier Magna International Inc. (MGA) has also voiced interest in Opel, but the company so far provided little details on any possible investment.

Zu Guttenberg described the meeting with Marchionne as "interesting" and pledged to examine Fiat's plan closely. He added that Magna's offer will be examined closely as well.

Zu Guttenberg said GM has allowed potential investors to look at information on its European operations. But he noted that in recent weeks GM "hasn't always been the easiest partner to work with" because not all required data has been made available. He stressed that any future deal for Opel also depends on a possible bankruptcy filing of its parent company.

Zu Guttenberg said he expects the involved companies to make decisions "in due course". Zu Guttenberg said there's no set date yet for another meeting with Fiat's CEO, but added that the contact has been established now and that a meeting could potentially be arranged short-term.

"Whether this combination can be made to work from a management, political or cultural view is unclear," Bernstein analyst Warburton said. "We remain unconvinced that Fiat has the management depth to pull off this very ambitious task, although we acknowledge that the company clearly keeps its talent obscured," he noted.

Web site: www.bmwi.de

-By Christoph Rauwald, Dow Jones Newswires; +49 69 29 725 512; christoph.rauwald@dowjones.com