[Allpar News System]

Reuters is reporting the Fiat SpA is close to obtaining the financing it will need to buy out the remaining 41.5% of Chrysler Group still held by the UAW's retiree health care trust (VEBA). Sources told Reuters that the deal could be done by next month. The Italian car company wants to raise about $4 billion in new financing. Fiat has cash reserves of about $11.9 billion, but drawing that down could damage Fiat's credit ratings. Chrysler and the UAW head to a Delaware chancery court tomorrow for a hearing on the automaker's request for a ruling on a fair value for a portion of the union trust's holdings. The judge's decision, not expected for a few more months, could determine the value of the VEBA's stake, which market analysts say is worth $3.5-$4 billion. While there is still a possibility that the VEBA could require an IPO, Marchionne has..

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[guyverfanboy]

How do the Italians feel about the merged Fiat-Chrysler being based in the US?

 

[Erik Latranyi]

y]

How do the Italians feel about the merged Fiat-Cheysler being based in the US?

The "talk" of being registered in the US....or having HQ in the US is not very likely, but certainly makes a great bargaining chip for talks with the Italian gov't and unions.

Marchionne may not know much about sales, marketing and branding, but he is an excellent negotiator.

 

[Jeepnut]

I think he has already laid the groundwork with his varied comments about Fiat bieng "global" now and not being able to look back!

 

[IMPERIAL4EVER]

I think he has already laid the groundwork with his varied comments about Fiat bieng "global" now and not being able to look back!

http://www.autoblog.com/2013/04/24/fiat-pondering-swallowing-rest-of-chrysler-us-ipo/

From autoblog.......Once Chrysler has been purchased speculation is Marchionne wil use Chrysler's war chest to prop up Fiat in Europe.

 

[Mike V.]

http://www.autoblog.com/2013/04/24/fiat-pondering-swallowing-rest-of-chrysler-us-ipo/

From autoblog.......Once Chrysler has been purchased speculation is Marchionne wil use Chrysler's war chest to prop up Fiat in Europe.

Fiat itself has lots of cash on hand (8-9 billion or so depending on which financial analysis you look at, I have not seen a cash figure since the demerger)... Realistically Fiat doesn't *need* to raid the Chrysler chest.

Mike

 

[oh2o]

Fiat itself has lots of cash on hand (8-9 billion or so depending on which financial analysis you look at, I have not seen a cash figure since the demerger)... Realistically Fiat doesn't *need* to raid the Chrysler chest.

True, but they will probably need at least 5-6 billion to "fix" the Cherokee .

 

[superduckie5000]

Hello, New York - From Automotive News:

http://www.autonews.com/apps/pbcs.dll/article?AID=/20130424/COPY01/304249684/fiat-weighs-new-york-listing-after-chrysler-merger-report-says&cciid=email-autonews-daily#axzz2RLvhHu9O

TMD

Dang, Give Up on the Cherokee Already. Wait Till 6 Full Monthsof Sales!

 

[Mike V.]

True, but they will probably need at least 5-6 billion to "fix" the Cherokee .

:lol:

Mike

 

[plymouth1]

So when it's a done deal who does Fiat/Chrsler go after next? Mazda? Someone else? Nobody? It will take a long time to challenge GM and VW and Toyota in global sales just by growing the Fiat/Chrysler brands.

 

[68RT]

I easily see the corporate HQ moving to another country but probably not the U.S. That has nothing to do with where the real design and building happens. Boeing is HQ'd in Chicago. Other than being Corporately based there, nothing is built or designed there. Just a convienient location for management with tax advantages along with better access to plants all over the country and business connections. Where in the world did a 5-6 billion figure come up? That could redesign almost everything.

 

[AlfaCuda]

So when it's a done deal who does Fiat/Chrsler go after next? Mazda? Someone else? Nobody? It will take a long time to challenge GM and VW and Toyota in global sales just by growing the Fiat/Chrysler brands.

Mazda will make a nice fit and show some muscle for the group in the Asian region. But will the Japanese swallow their pride?

 

[guyverfanboy]

Mazda will make a nice fit and show some muscle for the group in the Asian region. But will the Japanese swallow their pride?

Fiat-Chrysler-Mazda sounds good to me!

Skyactiv would be a nice technology to use across all brands, diesels would be cheaper using Skyactiv tech, better access to Asian markets, and Mazda would have a much needed larger partner to help them.

 

[Jose Santos]

y]

Fiat-Chrysler-Mazda sounds good to me!

Skyactiv would be a nice technology to use across all brands, diesels would be cheaper using Skyactiv tech, better access to Asian markets, and Mazda would have a much needed larger partner to help them.

If there's one thing that Mazda is good at is fuel efficiency. If the Alfa Romeo/Mazda roadster turns out good then Marchionne would be wise to consider Mazda. Compared to Toyota and Nissan, poor girl is struggling. "Partner up or die..." Mazda CEO.

 

[TripleT]

Marchionne may not know much about sales, marketing and branding, but he is an excellent negotiator.

Yeah cuz the company has gone to heck and hand basket since took over????/

 

[Lampredi]

So when it's a done deal who does Fiat/Chrsler go after next? Mazda? Someone else? Nobody? It will take a long time to challenge GM and VW and Toyota in global sales just by growing the Fiat/Chrysler brands.

I fear that the answer to that question may be Suzuki, which as we all know is partially owned by Volkswagen (19.9 %), the same company that wants a certain brand Fiat-Chrysler owns.

 

[guyverfanboy]

If there's one thing that Mazda is good at is fuel efficiency. If the Alfa Romeo/Mazda roadster turns out good then Marchionne would be wise to consider Mazda. Compared to Toyota and Nissan, poor girl is struggling. "Partner up or die..." Mazda CEO.

I think it would be a good marriage to Fiat-Chrysler since VW owns nearly 20% of Suzuki and they are not willing to sell off their stake either.

 

[superduckie5000]

Mo Money?

http://www.autonews.com/apps/pbcs.dll/article?AID=/20130425/OEM/130429931/fiat-may-have-to-pay-uaw-trust-fund-more-for-chrysler-shares-judge#axzz2RWt4wO6i

TMD

 

[Jackratchett]

Will Chrysler its own listing on the exchange or be mixed in with Fiat? Guessing the UAW will not be able to hold on to their share till the public offering when their share would be worth much more?

 

[RVC]

The. Idea is to buy off 100% of Chrysler, and quote the merged entity. Realistically they will quote in NY (doesn't get any better as far as liquid markets go) with a secondary listing in Europe, and Global HQ in the NL or Luxembourg (like Fiat Idustrial-CNH).

What does that mean for AH or Turin or Betim? Nothing.