Connect with us

Hi, what are you looking for?


Fiat to up stake in Chrysler to 30% in coming days

ROME, Apr 11 – Fiat will increase its stake in Chrysler to 30 percent level within days, the Italian auto giant\’s chief executive Sergio Marchionne said Monday.

"There are just a few details to be ironed out, which do not depend on us," Marchionne told journalists at Balocco, near the northern city of Turin, adding that it could happen "in the coming days" and possibly as early as Tuesday.

During his comments made at the unveiling of a new Jeep model, the Fiat chief also denied press reports that the launch of Alfa-Romeo in the United States could be delayed till 2013.

Last week Marchionne said that the increase in Fiat\’s stake in Chrysler to 30 percent from the current 25 percent would happen "within the next 30 to 60 days."

He added then that the auto giant was likely to raise its stake again to 35 percent before the end of the year.

In January, Fiat increased its stake in Chrysler to 25 percent from 20 percent as part of a deal signed after the iconic US auto brand emerged from bankruptcy in 2009.

The five-percent increase was made possible after Chrysler announced that it would begin production of new Fiat-designed Fully Integrated Robotized Engines (FIREs) at its plant in Dundee in the US state of Michigan.

According to the takeover terms, Fiat can raise its stake to 30 percent once Chrysler has reached a certain level of sales outside the US, Canada and Mexico.

Marchionne, who also heads up the US auto company, said in January that Fiat may boost its holding to 51 percent before a planned share offer by the Chrysler Group at the end of this year.

Advertisement. Scroll to continue reading.
Click to comment

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...


NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...


NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...


NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...


NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...