Tracinda's offer to buy Chrysler could collapse unless the investment vehicle controlled by Nevada billionaire Kirk Kerkorian can rapidly find a way to enter into negotiations with DaimlerChrysler, the German parent of the US automaker.

Ten days ago, Tracinda jolted the auction for Chrysler by offering to pay $4.5bn for the struggling unit. But Daimler did not consider Tracinda's offer to be serious enough to invite it into negotiations on a par with three other groups of potentialbidders. Tracinda demanded exclusive negotiationswith Daimler, which many people close to the process believe was an unreasonable demand.