All that stands in the way of Fiat's total ownership of Chrysler is a 41.5-percent stake currently held by the United Auto Workers healthcare trust, but according to SFGate.com, Sergio Marchionne is currently trying to raise the capital to complete the acquisition. The article says that a deal could be completed in as soon as 12 months, and the estimate for the remaining stake could cost Fiat SpA around $2.98 billion.
With a goal of completing the deal by the end of 2014, Marchionne is said to be in talks with various banks to help finance some of the deal. According to the report, the banks have indicated a need for a stronger balance sheet, controlled debt and reserve cash.

Two things that don't seem to be on the table to get the deal completed include issuing new shares to raise the capital or selling a stake in Ferrari. Fiat started with a 20 percent share of Chrysler in June 2009, and it raised its stake up to 58.5 percent in January 2012.


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  • 35 Comments
      Teleny411
      • 1 Year Ago
      Sergio is the man. Well, him and Ratan Tata'
      Mike Pulsifer
      • 1 Year Ago
      FIAT's the best thing that has ever happened to Chrysler (at least in the last 30 years).
        rlog100
        • 1 Year Ago
        @Mike Pulsifer
        You mean Chrysler is the best thing that happened to FIAT in years.
          omgcool
          • 1 Year Ago
          @rlog100
          Yep, considering Chrysler is the only Fiat brand making money right now. Why do you think Marchionne was so eager to buy majority stake? So he can tap into these funds (unlike Daimler, I trust Fiat not to drain Chrysler of project funds). As much as I wish Chrysler group could stay independent, I agree it's a mutually beneficial partnership and am happy things are turning around for them.
          Mike Pulsifer
          • 1 Year Ago
          @rlog100
          as in the Dart that's built on FIAT components?
        F1
        • 1 Year Ago
        @Mike Pulsifer
        ..and 4 of 6 Lancias are rebadged Chryslers.
      RetrogradE
      • 1 Year Ago
      Good grief, I'm not sure which of these two companies should run away faster. My guess is Fiat will be the first, especially if they buy some Italian military boots at a surplus store--you know, the ones with toes on both ends allowing their soldiers to run just as fast backward as they can forward.
      • 1 Year Ago
      [blocked]
        GreaseMonkeySRT
        • 1 Year Ago
        Don\'t forget Ram. It\'s the biggest money maker for Chrysler.
        rsxvue
        • 1 Year Ago
        Of course they do. Chrysler is profitable and Fiat is not -- fully owning Chrysler will do wonders to Fiat's bottom line. Plus, Fiat will have access to Chrysler's North American operations -- which should help them bring in Fiat and Alfa models since they're not doing too well in Europe.
      IBx27
      • 1 Year Ago
      Go for it, Fiat! You've done such a great job reviving ChryCo, especially on interior design, and you'll do much more with ownership than the uaw would.
      • 1 Year Ago
      [blocked]
        Nowuries
        • 1 Year Ago
        Seriously!! Fiat is hurting bad; the US market is the only thing holding it up right now, and if we let them buy Chrysler out, that namesake will be gone shortly thereafter...
          RJC
          • 1 Year Ago
          @Nowuries
          Fiat DOES have a huge market in South America and a growing presence in Asia--all of it.
      ND
      • 1 Year Ago
      Wow.....this is getting strange. If one of the American "Big Three" is no longer an American-run company, is there still a "Big Three"? I know that the current US stake is less than half, but there is still some controlling interest. I'm not a Chrysler/Dodge/Jeep buyer, but still feel weird about this deal.
        waetherman
        • 1 Year Ago
        @ND
        The only thing about a car company that makes it American these days is where it doesn't pay its taxes.
        GreenN_Gold
        • 1 Year Ago
        @ND
        Regardless of Chrysler's ownership structure, it remains the most US-centric auto maker by a large margin. I'm aware they have operations in Cananda and Mexico due to NAFTA, but no other auto maker is based more heavily in the US nor more reliant upon the US market for sales.
      waetherman
      • 1 Year Ago
      Presumably being 100% foreign owned would take it off the list for future US-funded bailouts and other corporate welfare. Considering how often Chrysler has been to the trough, I'm not sure that this is such a good idea for Fiat. Who will save them next, Italy?
      Scooter
      • 1 Year Ago
      Good, maybe they can take Chrysler from being the brand of the inner city to being a universally appealing brand.
      rllama
      • 1 Year Ago
      Maybe they should "Crowd Fund" the rest of Chrysler by putting it on their Wish List and other companies could sponsor little pieces of Chrysler and give it to Fiat for Fiat's birthday, and Easter, and Christmas.
      mbukukanyau
      • 1 Year Ago
      The US government should have this company floated on the NYSE or NASDAQ. Given the public funded this company, we should have the opportunity to get a piece of the action. Just my thoughts.
        Sir Duke
        • 1 Year Ago
        @mbukukanyau
        The ultimate ruin of many a good company, the Stock market. Companies are driven into the ground once they have to answer to the pimps on the "Street". Only the trading houses seem to prosper in this arrangement. If you still have money in the "Market" now is the time to bail. You could always wait for the next CRASH. Oh its coming.
      8LiterHemiV8
      • 1 Year Ago
      Use the right Chrysler logo already.
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