Fiat seems about to take over Chrysler completely
Things are restless in Detroit and the shares of Fiat are booming today. This can only mean one thing; Fiat is close to taking over the Chrysler-concern completely. The positive note of the current owner of the remaining shares from last week already gave us a hint, and now the first amounts of money are already being named. This is of course a large-scale operation with a value of around 20 billion dollars (15,5 billion euros or 13,2 billion pounds), making Fiat one of the biggest players on the market again, as the gigantic GM was worth an estimated 23 billion dollars at the time of their IPO in 2010.
The Wall Street Journal wrote on Saturday that these will definitely be tough negotiations, but not impossible. One thing is for sure; Sergio Marchionne is nearing one of the, if not the most important moment of his career. WSJ said that the Italian CEO is a determined all-rounder. This approaching takeover will of course include one or probably multiple banks as well; Goldman Sachs, Bank of America, Deutsche Bank and a few others have already been mentioned. Once the judge has made a ruling on the valuation next month, the first 3,3% of the remaining shares (41,5%) will immediately be bought by Lingotto.