Thu, 31 Oct 2019 | MERGER
Fiat Chrysler Automobile (FCA) and Groupe PSA have confirmed plans to pursue a merger, creating a business that would have a combined revenue of nearly €170 billion.
Announcing the plans, the two groups said the merger followed "intensive discussions between the senior managements of the two companies" and that they intended to build a "world leader for a new era in sustainable mobility".
The new group will be owned 50 per cent by Groupe PSA shareholders and 50 per cent by FCA shareholders and will be the world’s fourth-largest original equipment manufacturer (OEM) by unit sales.
The group will have an 11 person board, with 6 members appointed by PSA, including its chief executive Carlos Tavares, and 5 members appointed by FCA.
Along with its €170 billion revenue, the group would have recurring operating profit of more than €11 billion and combined vehicle sales of 8.7 million, putting it ahead of General Motors and Hyundai-Kia in terms of sales.
FCA has 102 manufacturing facilities, 46 research and development centres and operates through dealers and distributors in over 135 countries. Its brands include Chrysler, Fiat and Jeep. France’s Groupe PSA is present in around 100 countries, with brands including Peugeot, Citreon and Vauxhall, which employs 3,000 people in the UK.
Groupe PSA chief executive Carlos Tavares said that "This convergence brings significant value to all the stakeholders and opens a bright future for the combined entity.”
While FCA chief executive Mike Manley added: "I'm delighted by the opportunity to work with Carlos and his team on this potentially industry-changing combination. We have a long history of successful cooperation with Groupe PSA and I am convinced that together with our great people we can create a world class global mobility company."
Turnover of £1m, with an EBIT of £98k. Designs and manufactures high-quality bespoke awards and trophies, also providing a range of engraved off-the-shelf designs. Develops awards to clients’ specifications, meeting all budgetary and timescale requir...
LEASEHOLD
This well established bespoke manufacturer of doors and windows has been trading for over 35 years and is a successful family run business with an outstanding reputation in the sector and has the awards and recognition to back it up. The company prov...
LEASEHOLD
Turnover of £637k. Manufacturers, supplies and installs a wide range of commercial and medical curtain and blind products. Products and services include manufacturing and installation of commercial blinds and curtains including all related tracking,...
LEASEHOLD
|
16
|
|
May
|
Manx Financial Group to acquire Payment Assist in potential £9m deal | BUSINESS SALE
Manx Financial Group Plc has announced the acquisition of Pa...
|
13
|
|
May
|
Assets set to be sold as modular housing joint venture enters administration | ADMINISTRATION
The US House Group modular housing joint venture has fallen ...
|
12
|
|
May
|
Bathroom panel firm acquired for up to 9.1x EBITDA | BUSINESS SALE
Bathroom and kitchen products firm Norcros has agreed a deal...
Sign up to receive our acquisition alert emails to get your FREE guide
|
28
|
|
Apr
|
FCA warns banks not to pressure their business customers | BUSINESS NEWS
The Financial Conduct Authority (FCA) has today sent letters...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources