Photo: futura.unito.it
The Fiat-Chrysler group is now a single entity we have all-but gotten used to. The two companies are mutually helping each other, and so far pretty much all of their collaborative efforts have been highly successful. Proof that Fiat is aware of this, is the fact that they plan to buy an additional 3.3% in shares, from the UAW retiree fund.
This would cost Fiat some $198 Million, for the second part of the Voluntary Employees Beneficiary Association VEBA, which they tried to acquire back in July of 2012. However, in September of las year, when they asked a US court to validate the price, and in the end an agreement could not be reached.
Keep in mind that VEBA still owns 41.5% of Chrysler, and that Fiat is slowly taking over complete control, buying out the VEBA shares in manageable chunks, before they reign supreme in Detroit. The complete takeover will allow Fiat to have a very firm foothold in the US, through which they will be able to sell both Fiat and Alfa Romeo products Stateside, with much more ease than simply importing them an supporting the high associated taxes themselves.
It is not clear how long the process will take, but, in the end Chrysler will be Fiat.
Story via autonews.com
Keep in mind that VEBA still owns 41.5% of Chrysler, and that Fiat is slowly taking over complete control, buying out the VEBA shares in manageable chunks, before they reign supreme in Detroit. The complete takeover will allow Fiat to have a very firm foothold in the US, through which they will be able to sell both Fiat and Alfa Romeo products Stateside, with much more ease than simply importing them an supporting the high associated taxes themselves.
It is not clear how long the process will take, but, in the end Chrysler will be Fiat.
Story via autonews.com
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