- Sep 14, 2006
I want my baby back! Fiat to repurchase Ferrari shares
Fiat is increasing its stake in Ferrari, buying back the shares it sold to Italian investment bank Mediobanca during Fiat's financial troubles in 2002. The Turin-based auto conglomerate is the undisputed Don of the Italian car business, controlling Ferrari, Maserati, Alfa Romeo, Lancia, Iveco and Magneti Marelli (to name a few), and will exercise its option to buy back the 29% currently held by Mediobanca by the end of September.
Together with the 56. Mediobanca sold 5 is still owned by the Ferrari family.
Enzo Ferrari initially sold half his company to Fiat in 1968. While ostensibly Fiat owns Ferrari, many would argue the control flows the other way, with Ferrari president Luca di Montezemolo serving as chairman of the Fiat Group.
Think buying one Ferrari is expensive? Fiat's purchase is rumored to cost a staggering $800 million.
[Source: Ansa.it via Italiaspeed]