With the markets closed, Fiat (which ended the trading session unchanged today) announced that it had purchased the Canadian and US Treasury Department holdings in Chrysler. In detail, Lingotto acquired 1,5% held by Canada for 125 million dollars and 6% of the US Treasury for 500 million dollars (both fully diluted), as envisaged by the agreements concluded between the parties at the beginning June.
As part of the agreement, the US Treasury Department also transferred to Fiat for 75 million dollars the rights due under the Equity Recapture Agreement, concluded between the US Treasury and Veba, the health pension fund for workers of the giant American. Fiat will therefore be entitled to the transfer of Veba profits, exceeding 4,5 billion. At the same time, the Lingotto is also entitled to purchase Veba's entire stake at a price equal to the specified threshold, after deducting any revenue previously made by Veba on its stake. Fiat thus holds 53,5% of Chrysler's share capital (taking into account the various dilution effects) and will rise to 58,5% of Chrysler's share capital by the end of the year.
