In what marks the giant automobiles manufacturer's second exit from a partnership with a Japanese automaker in a year, General Motors is all set to completely acquire its Canadian car- manufacturing venture, Cami Automotive Inc., by buying out the stake currently held by Suzuki Motor Corp.

The development has been confirmed by the Japanese firm, which said that it has agreed to sell its 50% share in the Canadian venture, without disclosing the financial terms of the takeover.

GM, in order to make up for all the losses which pushed it into bankruptcy earlier this year, has been selling its assets. The firm, which is currently controlled by the US Government, left off its car-production venture with Toyota in Fremont, California. Similarly an equity alliance was ended by the company in November 2008 with Suzuki.

"GM wants to make this plant one of its important production sites, as costs are cheaper in Canada than in the U. S. For Suzuki it also makes sense as it probably needed to get out of production in the region, where it has very little market share", said Koji Endo, Managing Director of Advanced Research Japan, a Tokyo-based equity research firm.

Talking about the deal, Arturo Elias, President of GM Canada, said, "GM Canada recognizes that the culture and values of the CAMI workforce have played a key role in producing world-class vehicles. Bringing CAMI completely into the GM family is a strong vote of confidence in the people there and builds on the recent positive news at the plant".