After last night's agreement which today sees Fiat as 100% owner of Chrysler, the stock is on the stock exchange. It had been blocked due to excessive increases: the Lingotto had marked a first price of 6,70 euros, equal to a gain of 12,6%. Now Fiat records a +15%, with a price equal to 6,84 euros.
In fact, Fiat will acquire from Veba the 41,5% stake held by the health fund of the American union Uaw, thus rising to 100% in Chrysler. The closing is expected by January 20, 2014. Veba will receive 3,65 billion dollars (2,7 billion euros), of which 1,75 billion in cash from Fiat and 1,9 billion as an extraordinary dividend from Chrysler. In reality, for the acquisition of the entire 41,5% stake held by Veba in Chrysler, Fiat will pay only 1.750 million dollars in cash (just under 1,3 billion euros) and will do so using its own available liquidity.
“A historic moment and the beginning of a new chapter in our future”. Thus, in an email sent to employees, the CEO of Fiat and Chrysler, Sergio Marchionne, and the president of Lingotto, John Elkann, described the long-awaited agreement.
The tug-of-war over the value of the share held by the US metalworkers union began in September 2012. “After lengthy negotiations with Veba – reads the email – we reached an agreement which, through the acquisition of 100% of Chrysler from part of Fiat, allows us to complete the union of the two groups both in financial and technical terms even if in fact this extraordinary union already existed”.
