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FCA + Peugeot in Talks

Discussion in 'Mopar / FCA News' started by Dan Minick, Oct 29, 2019.

  1. 77 Monaco Brougham

    77 Monaco Brougham Well-Known Member

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    Stephane Dumas:

    Before you start heralding the joyous merger news from every mountain and hill...you might want to have a look at THIS first:

    EXCLUSIVE-French side of PSA-Fiat merger want governance guarantees - sources | Nasdaq

    I was wondering when this ugly little issue would finally rise to the surface...and now it has.
     
    #441 77 Monaco Brougham, Dec 16, 2019
    Last edited: Dec 16, 2019
  2. T_690

    T_690 Well-Known Member

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  3. Tony K

    Tony K Active Member

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    My answer would be that we agreed on 5 each. Tavares is a tiebreaker. The board picks his replacement.
     
  4. Adventurer55

    Adventurer55 Well-Known Member

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    This was news last week. I would imagine it'll get worked out.
     
  5. Stéphane Dumas

    Stéphane Dumas Well-Known Member

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  6. Stéphane Dumas

    Stéphane Dumas Well-Known Member

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  7. Beentherebefore

    Level III Supporter

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    gforce2002 likes this.
  8. Adventurer55

    Adventurer55 Well-Known Member

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    Not a problem at Chrysler or Dodge. Their models are long since paid for. Might still owe a bit on Pacifica.
     
  9. valiant67

    valiant67 ...

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    The longer things stay unchanged, the harder it can become to justify new spending for replacements when they are eventually needed.
     
  10. Zagnut27

    Zagnut27 Jeepaholic

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    But the next sentence they talk about how he turned around “perennial money losers”, so there is hope there. Perhaps it means he’s good at cutting the fat in the process of turning a brand around.
     
  11. T_690

    T_690 Well-Known Member

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    PSA board signs off on Fiat Chrysler merger, report says (at https://www.autonews.com/automakers-suppliers/psa-board-signs-fiat-chrysler-merger-report-says )

    MILAN / PARIS - The board of French automaker PSA, the owner of Peugeot, approved a binding memorandum of understanding to merge with rival Fiat Chrysler Automobiles, a person close to the matter said on Tuesday.

    A separate FCA board meeting was underway to discuss finalizing a $ 50 billion initial agreement to create the world's number four automaker, the source added.

    Both companies declined to comment.
     
    ScramFan likes this.
  12. MJAB

    MJAB Well-Known Member

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    T_690 and ScramFan like this.
  13. 77 Monaco Brougham

    77 Monaco Brougham Well-Known Member

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  14. 77 Monaco Brougham

    77 Monaco Brougham Well-Known Member

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  15. Beentherebefore

    Level III Supporter

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    Let's hope that this marriage lasts. Divorces can make lots of people cry too.
     
  16. Zagnut27

    Zagnut27 Jeepaholic

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    And boy does it make holidays awkward! :p
     
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  17. MJAB

    MJAB Well-Known Member

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    The control of the new company is in the hands of Agnelli and Peugeot families.
    The advantage for Peugeot family is that now they will have less to deal with french government.

    If one looks at "shareholders restrictions" one can get what I mean.

    https://www.fcagroup.com/it-IT/inve...CA_Proposed_Merger_Presentation_Dec_18_19.pdf
    "...
    ShareholdersRestrictions
    •7-year standstill applied to EXOR N.V., Bpifrance Participations SA, DFG and EPF/FFP (2)
    •3-year lock-up applied to EXOR N.V., Bpifrance Participations SA and EPF/FFP (3)

    (2) EPF/FFP would be permitted to increase its shareholding by up to 2.5% in DutchCo (or 5% at the PSA level), only by acquiring shares from Bpifrance and DFG and/or on markets (up to 1% of the shares of DutchCo (or 2% at the PSA level) plus the percentage of shares sold by Bpifrance other than to EPF/FFP, subject to overall maximum of 2.5% at the DutchCo level and of 5% at the PSA level)
    (3) DFG will be subject to a lock up until the completion of the transaction for the balance of its participation in PSA, resulting in an ownership of 4.5% of DutchCo.
    Bpifrance will be permitted to reduce its shareholdings by 5% in PSA or 2.5% in DutchCo.
    ..."

    Bpifrance (Banque publique d'investiment = french government)
    EPF/FFP = Peugeot family

    So we have that Peugeot family is allowed (note 2) to increase their partecipation in the new company (for maximum another 2.5%).

    French government is allowed to sell its shares (note 3 and 2), so doing to receive additional cash (governments are always looking for cash for their budgets, I could guess that one of the reasons of closing before december end is because of the cash they will receive from Faurecia sell).
     
  18. aldo90731

    Staff Member Level III Supporter

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