Fiat agrees to buy up rest of Chrysler

[Wretched]

The Italian motors giant Fiat has agreed to buy the remaining 41% of Chrysler it does not own in a move that will create the world's seventh-largest car company.

Fiat has owned a majority stake in the US company since 2009.

The agreement ends drawn-out negotiations with the current owners, Veba, the healthcare trust affiliated to the United Auto Workers' union.

Chrysler and Fiat will pay the trust an initial $3.65bn (£2.2bn).

Once the deal is signed off, Chrysler will pay Fiat another $700m.

Fiat's chief executive, Sergio Marchionne, plans to widen the company's global reach.

The Veba trust looks after medical benefits for retired Chrysler workers.

The alliance between the two companies came amid the major restructuring of the US car industry following the financial crisis of the late 2000s.

The link-up gave Fiat access to the vast US car market, while Chrysler was able to benefit from the Italian firm's expertise in developing small, fuel efficient vehicles.

Recently, Chrysler reported a 22% rise in third-quarter profits to $464m, with net revenue up 13.5% to $17.6bn.

The company said its results had been helped by strong sales of its Jeep Grand Cherokee and the Ram 1500 pickup.

http://www.bbc.co.uk/news/business-25571200

[Syndrome]

So the Big Three are now the Big Two.

[RANGEREST]

Yep, the big 2. Is that, Ford, GM, and Fiat?

[Mighty Reds]

First new model should be a Viper V10 powered Fiat 500.

[CyberWasp]

Mamma Mia !!!!!!!!!

[JG66ME]

Fiat bought a large portion of Ford back in the 1990s.

The Ford Tractor Division bought shares in the implement company New Holland in the 1980s, a company that had an alliance with Ford from the 1960s. They then went into an alliance with Fiat Agari and the Ford brand became Ford New Holland but was still largely Ford owned. They designed tractors that where sold under the Ford New Holland brand (Blue and Grey) and the Fiat Brand (Terracota).

At the same time an alliance was formed with the UK based Ford Europe Truck division and Fiat to form Iveco Ford.

Eventually Ford sold the rest of the tractor and European truck arm to Fiat and the two new companies became New Holland replacing Ford and Fiat tractors and Iveco replacing Ford and Fiat trucks.

Ford Tractor Division was one of, if not the largest manufacturer of tractors in the world. The plant at Basildon in Essex UK was the largest with huge plants in Belgium and and Rouge Michigan. There was also a huge truck plant in Essex, UK that had built the D Series then Cargo and Ford Intercontinental truck range for the European market.

They also supplied industrial diesel engines used in compressors, marine, generators and combine harvesters. Customers included New Holland prior to merger, Class and Ransomes. These where based on Ford Tractor engines as well as Ford D series (Dover) and Cargo (Dorset) engines.

The funds from these sales where used to buy Aston Martin, Jaguar and Land Rover. What a great trade, NOT.

Steve

[Blue Roo]

I could be wrong. But doesn't Ferrari own or part own Fiat?

[GASWAGON]

Originally Posted by JG66ME

Fiat bought a large portion of Ford back in the 1990s.

The Ford Tractor Division bought shares in the implement company New Holland in the 1980s, a company that had an alliance with Ford from the 1960s. They then went into an alliance with Fiat Agari and the Ford brand became Ford New Holland but was still largely Ford owned. They designed tractors that where sold under the Ford New Holland brand (Blue and Grey) and the Fiat Brand (Terracota).

At the same time an alliance was formed with the UK based Ford Europe Truck division and Fiat to form Iveco Ford.

Eventually Ford sold the rest of the tractor and European truck arm to Fiat and the two new companies became New Holland replacing Ford and Fiat tractors and Iveco replacing Ford and Fiat trucks.

Ford Tractor Division was one of, if not the largest manufacturer of tractors in the world. The plant at Basildon in Essex UK was the largest with huge plants in Belgium and and Rouge Michigan. There was also a huge truck plant in Essex, UK that had built the D Series then Cargo and Ford Intercontinental truck range for the European market.

They also supplied industrial diesel engines used in compressors, marine, generators and combine harvesters. Customers included New Holland prior to merger, Class and Ransomes. These where based on Ford Tractor engines as well as Ford D series (Dover) and Cargo (Dorset) engines.

The funds from these sales where used to buy Aston Martin, Jaguar and Land Rover. What a great trade, NOT.

Steve

Great info on Fords/Fiats involvement with tractors AND trucks years ago.....I'm still trying to get my head around all the changes.......Claas have a big depo in Laverton Melbourne absolutely packed with stock and New Holland is quite big too. They do a massive 8wheel tractor with a 600HP Cummins lol!

I seriously cant believe how many fingers are in so many pies for these non car industries.....Obviously there is still money to be made in industries other than cars!

[Bushbasher]

I think it's the other way round, Fiat own Ferarri.

[csv8]

From : Wikepedia

Fiat is the largest vehicle manufacturer in Italy, with cars ranging from small Fiat city cars to sports cars made by Ferrari, and vans and trucks such as the Ducato. Besides Fiat Group Automobiles S.p.A, the Fiat Group automotive companies include Chrysler Group LLC, Ferrari S.p.A. and Maserati S.p.A. The Fiat Group Automobiles S.p.A. companies include: Abarth & C. S.p.A., Alfa Romeo Automobiles S.p.A., Fiat Automobiles S.p.A., Fiat Professional and Lancia Automobiles S.p.A.. Ferrari S.p.A. is 90% owned by the Fiat Group.[53]
They also have a partnership with Mazda...

The European Car of the Year award, Europe's premier automotive trophy for the past 40 years, has been awarded twelve times to the Fiat Group, more than any other manufacturer. Most recently the Fiat Nuova 500 has won the award for European Car of the Year 2008.
http://en.wikipedia.org/wiki/Fiat#Pa...hip_with_Mazda

[Sep 97 EL XR8]

Originally Posted by csv8

From : Wikepedia

Fiat is the largest vehicle manufacturer in Italy, with cars ranging from small Fiat city cars to sports cars made by Ferrari, and vans and trucks such as the Ducato. Besides Fiat Group Automobiles S.p.A, the Fiat Group automotive companies include Chrysler Group LLC, Ferrari S.p.A. and Maserati S.p.A. The Fiat Group Automobiles S.p.A. companies include: Abarth & C. S.p.A., Alfa Romeo Automobiles S.p.A., Fiat Automobiles S.p.A., Fiat Professional and Lancia Automobiles S.p.A.. Ferrari S.p.A. is 90% owned by the Fiat Group.[53]
They also have a partnership with Mazda...

The European Car of the Year award, Europe's premier automotive trophy for the past 40 years, has been awarded twelve times to the Fiat Group, more than any other manufacturer. Most recently the Fiat Nuova 500 has won the award for European Car of the Year 2008.
http://en.wikipedia.org/wiki/Fiat#Pa...hip_with_Mazda

doesn't ford own part of Mazda?

it seems to be getting a bit incestual

[CyberWasp]

It seems to be working out for Chrysler in the sense that their quality seems to be improving and that Fiat are keeping most of their name plates.
I really think we will see the Dodge Muscle cars here too in RHD when the next model change over comes. They seem to be keen to get as much out as possible.

[CSV_LS1]

This will now give FIAT access to hundreds of millions of dollars in yearly Chrysler profits to shuffle around to their European operations which isn't available without full ownership. Now hopefully they stop screwing with Alfa Romeo's future and spend some money.

[Polyal]

Yeap, a new 105-esque based off the mx5 would be a start.

[FAT245]

MX-5 Chassis with an SRT8 6.4 SC Engine ... Hrmmmmmmmmmmmm

[MethodX]

Forza the fiat group.
Italy needs strong insustry.

Pity Lamborghini and Ducati aren't Italian owned anymore, but thems the breaks.

[XP6]

So does that mean Mopars will rust even faster and have bad wiring as well now

[CSV_LS1]

Originally Posted by XP6

So does that mean Mopars will rust even faster and have bad wiring as well now

Wouldn't be making too many jokes, considering BA-FG have their own rust problems Lol

[FAT245]

Mopars don't have problems rusting....

[JG33]

I think I'll put an order for a purple Val. lol

[MethodX]

Least the Fiat group is surviving, unlike ford aus.

[Nikked]

Originally Posted by MethodX

Least the Fiat group is surviving, unlike ford aus.

Ford Australia not surviving?

So the Design, development and engineering facilities are closing now? All the Dealers closing?

[Bossxr8]

Have you compared Fords record global profits Vs Fiats hundreds of millions in losses.

Don't even know where they managed to stump up the cash for the Chrysler shares considering they are thinking they can't make a profit until 2016.

[MethodX]

Originally Posted by Bossxr8

Have you compared Fords record global profits Vs Fiats hundreds of millions in losses.

Don't even know where they managed to stump up the cash for the Chrysler shares considering they are thinking they can't make a profit until 2016.

That why their sales didn't meet expectations last quarter.
Ok but not great.
And why do you care, its just ford America, ford aus is dead.

[Bossxr8]

Originally Posted by MethodX

That why their sales didn't meet expectations last quarter.
Ok but not great.
And why do you care, its just ford America, ford aus is dead.

I'm sorry, I thought this was Ford Forums, not Fiat Forums.

[MethodX]

Originally Posted by Bossxr8

I'm sorry, I thought this was Ford Forums, not Fiat Forums.

And so you should be.
Fiat has just has much history and is just as western as Ford, they aren't Japanese.

Great to see, Americans wanted globalisation, now they can sook.

[Nikked]

Originally Posted by Bossxr8

I'm sorry, I thought this was Ford Forums, not Fiat Forums.

"The Pub, for GENERAL automotive related talk."

[CSV_LS1]

Afaik they've borrowed the cash. They'll owe approx $10b to the banks, the highest in Europe.

[MrXR8]

Originally Posted by Bushbasher

I think it's the other way round, Fiat own Ferarri.

Basically fiat owns or owned just about every Italian car brand except for Lamborghini. They did this because who can afford a fiat? Everyone. Who can afford a Ferrari? Very few. So as they all went bust fiat bought them. Ferrari, lancia, Alfa Romeo etc.


Sent from my iPhone using Tapatalk

[jpd80]

Fiat's plan is to basically leverage Chrysler USA to borrow $12 billion to elevate it's Italian brands and chase after the German Luxury marques.

All with the promise of shared vehicle developments for Chrysler, Dodoge and Jeep - I'll believe it when I see it....