In the merger of FCA and PSA, the business was left to the approval of the board of directors. In the statement made yesterday, it was stated that the board of directors of both companies received approval for the new company called Stellantis.
Another important stage has been completed in the merger of Fiat Chrysler (FCA) and PSA, which has been the biggest deal in the automotive world in recent years.
Automotive giants, who accelerated the work as the pandemic started to harm the merger process, received the European Union’s approval for the merger. In the statement made recently, it was announced that the board of directors of FCA and PSA also made a positive decision regarding the merger decision. Thus, there was no obstacle to the partnership, whose name was announced as Stellantis.
According to the announcement, the merger process is planned to be completed by 16 January. It was stated that the shares of Stellantis, which will be born as the fourth largest automotive manufacturer in the world with a merger of 52 billion dollars, will begin to be traded in Milan, Paris and New York markets within two weeks. Stellantis has an annual automobile production capacity of 8 million units and an annual total revenue of 203 billion dollars.
There will be a total of 14 brands under the roof of Stellantis, including Fiat, Maserati, Jeep, Dodge, Peugeot, Citroen, Opel and DS. PSA CEO Carlos Tavares will assume the role of CEO at Stellantis. The chairman of Stellantis will be John Elkann, Chairman of the Board of FCA. FCA CEO Mike Manley will also lead Stellantis’ North American operations after the merger.
One of the priorities of Stellantis management will be to save money by cutting costs. However, in this context, no factory is expected to be closed. The future of low-volume brands such as Lancia and Chrysler within FCA is uncertain for now.