Fiat Chrysler, Peugeot owner PSA agree binding merger deal

This post was originally published on this site

By Gilles Guillaume and Giulio Piovaccari

PARIS/MILAN (Reuters) – Fiat Chrysler (MI:) and Peugeot maker PSA (PA:) said on Wednesday they had agreed on a binding merger agreement, in a $50 billion deal that will pave the way to the creation of the world’s fourth-largest carmaker.

The transaction is expected to close in the next 12 to 15 months, the companies added.

Before the 50-50 share merger is completed, one of PSA’s shareholders, China’s Dongfeng Motor Group (HK:), will trim its 12.2% stake in the French carmaker by selling 30.7 million shares to PSA, they added.

That stake was worth 679 million euros ($748.4 million) at the most recent closing price.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Add Comment