Discussion in 'Mopar / FCA News' started by HEMI345, May 25, 2019.
I think the Lancia Chrysler pairing has since been unpaired.
we live in clown world
Listening to CNBC in the background while I work, they just said Peugeot and FCA are in talks again.
Yup, just read it. It's not a bad merger at all. They're the second biggest european group and Tavares knowns very well how to turn a profit in Europe.
There also an article from the Wall Street Journal about it but you have to subscribe to read the rest.
WSJ News Exclusive | Fiat Chrysler, Peugeot Owner PSA in Talks to Combine (at https://www.wsj.com/articles/fiat-chrysler-peugeot-owner-psa-in-talks-to-combine-11572373519 )
"...MERGER OF EQUALS..." Oh dear lord, where have we heard this before?
This is exactly why all Chrysler and Dodge product is on hold. Both brands future existence is tied to a merger, which FCA is still strongly pursuing.
... Yes; since SM and Ferdinand Piech engaged in tête-à-tête back in 2012 ( I recall it being January of that year, but can't be certain ).
I think NOT pursuing a "relationship" is the fall-back position when the object of affection does not respond favorably to overtures of further discussion. Put differently : "We're chasing Merger tail; unless, of course, no one's interested ... otherwise we're in suspended animation conserving as much of our energy as humanly possible."
What's to say step 1 is Peugeot and step 2 is Renault Nissan . Now FCA Peugeot and Renault Nissan would be epic and strong enough to go against VW. But the downside is 60 percent of the entire auto industry would be FCA/VW price fixing may be an issue but innovation would be exceptional.
Bravo! You have just summed up...and very elegantly...the entire situation we've been living through these past several years.
Does anyone hear that?
It's the sound of the performance of Renault shares during trading this morning on European markets:
The late-breaking developments regarding FCA & PSA beg one obvious question:
Will Renault let this happen without at least fighting back?:
Will Renault React To Fiat Chrysler, PSA Merger Talks?
Tavares would be CEO if FCA, PSA agree to merge, report says (at https://www.autonews.com/manufacturing/tavares-would-be-ceo-if-fca-psa-agree-merge-report-says )
That's your opinion, and you're certainly entitled to it, but can you prove it?
Classic "Best Alternative to No Agreement," but I would submit it's a bit more nuanced than that, as in "We're chasing Merger tail; unless, of course, no one's willing to come to suitable terms.
Will be interesting to see how this plays out. Maybe this was FCA's way to get Renault et al back to the table.
This or it's a way for FCA to give the middle-finger to Renault.
Deduction. 2016/17 was when Sergio publicly began courting literally anyone who would listen trying to broker a merger. That's also when FCA suddenly began streamlining their product portfolio. Anything low margin was dropped. Planned replacements for aging models quietly were shelved. 'Legacy' platform models have been extended to maximize profit without committing resources to new models outside of the high margin global product lines (Jeep and Ram).
Why else would you hold back on committing to new product on low margin brands that are also specific to North American markets unless you were courting a merger? The reason being you want FCA in a position of strength without having resources tied up for the next several years in product. ALSO you can't afford to have any product flops while trying to win over another automaker. PLUS if a merger is successful you gain access to their platform/parts/product lines and it might be way cheaper to simply ship their product to the existing FCA dealer network.
Suitable terms : Exor is at the wheel. There are no Equals. What Merger? Quit breathing and fogging up my mirror, Tavares!
I would like to believe that is the case, but it seems more complicated than that.
Yes...John Elkann is reportedly slated to be Chairman of the new entity, but I'm not sure how much real power Chairmen of companies actually have.
As I understand from the reports, the new board will comprise 6 PSA members, vs. only 5 board members from FCA.
On the other hand...once the dust settles...although the Agnelli family will not have controlling interest...it seems likely that they will end up with the single largest block of shares.
It seems to me what you are saying is that the Agnellis...for all intents and purposes...will hold the balance of power.
We spend more time discussing mergers and controlling interests than the latest vehicle launch.
None of this is about making any of these companies better. It is ONLY about $$$$
Maybe because there is more merger news than vehicle launches?