Thursday, April 21, 2011

Chrysler, agreement reached 46%

Agreement reached between Fiat, Chrysler and the other shareholders for the exercise of "Incremental Equity call option on 16% of the American. This would be done by the House of Lingotto approaching it to acquire an absolute majority of the house in Detroit (with the new quota comes to 46%). The total price of the transaction under this Agreement is one billion and 268 million dollars.

The agreement provides that Fiat can exercise the call option in full in a subsidiary and simultaneous refinancing of the debt that Chrysler has in respect of U.S. and Canadian governments, following the rescue work in 2009, to be completed in the second quarter of 2011 . By June the group and then add a new stake in Turin and will arrive at 46%, and then add a further 5% by year-end, as required by the contract, reaching the milestone of 51% of imported capital.

For the President of Fiat, John Elkann, the transaction that "marks a historic step for Fiat and Chrysler, and it is for us a source of great satisfaction and pride. Along with Chrysler Fiat automotive group will create a stronger, with a full range of products, present in all markets of the world and can compete with anybody, "adding that" in recent years, Fiat and Chrysler have been able to work side by side, with commitment and mutual respect.

" Satisfied even in the. d. Fiat, Sergio Marchionne believes that this step "forward towards the completion of that grand design of integration between Fiat and Chrysler began less than two years ago, which will create a global carmaker. We decided to up the tempo as much as possible, to accelerate the creation of a single group that can benefit from trarrre joint development of their international activities.

" For the manager, "Chrysler is following an extraordinary journey of recovery in industrial and economic, and Fiat is ready to take control, to make the connection more stable and stronger in the interests of both."

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