Fiat wants to borrow up to $10 billion to completely buy Chrysler - report

Fiat & Chrysler logos
Fiat & Chrysler logos

41.5 percent stake

An interesting new report says Fiat is looking to borrow up to 10 billion USD from several banks to purchase the remaining stake in Chrysler.

Some of these banks include Goldman Sachs Group Inc., Deutsche Bank AG, Bank of America Corp and BNP Paribas SA - from which Fiat wants to get the necessary funds to buy the remaining 41.5 percent owned currently by the United Auto Workers' retiree health-care trust.

This is part of Sergio Marchionne's (CEO Fiat & Chrysler) plans to create a combination of the two automakers which would lead to a better competitor for Volkswagen Group, Toyota and General Motors.

It is believed Fiat has already received verbal agreements from some of the banks, but a deal hasn't been signed at the moment. If the deal is made, Fiat then wants to refinance the debt of both companies at a lower interest rate.

A more in-depth analysis is available at the source link below.

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Comments (4)

ZenithEyEvil ZenithEyEvil
Bank of Tokyo-Mitsubishi UFJ
Jun 1st, 2013 3:21pm
0 0
autoficianado autoficianado
Fiat-Chrysler is a successful team unlike Daimler-Chrysler and the focus is on making a better product not the cheapest option. One Thing both Daimler & Fiat have in common is that Chrysler has at times in both histories has been the profit engine. In the early 2000s Mercedes was losing money and Chrysler was profitable...this is before Daimler killed Chrysler's design studio and decided to make the ugliest, cheapest cars possible and we all know the epic fail that occurred...Fiat & Marchionne seem to be more intelligent and nimble than the Germans in this and have made a successful run. There is still alot of work to be done to improve the Chrysler products but once again Chrysler is profitable and keeping the company lights on.
Jun 1st, 2013 3:56am
1 0
Prestige15 Prestige15
They should ask wonga or amigoloans.com
May 31st, 2013 11:14pm
3 -1
memexe memexe
Doing that Fiat will die slow... Daimler were happy to give up when they did...
May 31st, 2013 7:28pm
1 3