(MENAFN) Fiat CEO, Sergio Marchionne, stated that the company's merger with US Chrysler is forecasted to complete next year, promising to keep the entire Italian workforce, reported Xinhua News.
In 2009, the Italian carmaker acquired a 20-percent stake in Chrysler, which emerged from a government-financed restructuring under bankruptcy protection.
The stake was in return of sharing technology and leadership; eventually, Fiat acquired shares owned by the American government and Veba (the United Auto Workers union retiree health benefits fund, a Chrysler shareholder).
The Italy, Turin-based firm, which posted a net income of over USD1.9 billion in 2012, has exercised two call options on acquiring shares from Veba, which will increase its stake to 65 percent eventually, from 58.5 percent at the current time.
It is worth noting that it is not clear yet whether Fiat group will keep its headquarters in Turin or elsewhere, as the issue depends on access to financial markets and the choice of the Agnelli family, the founder of the group.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.