Stellantis is born when PSA and FCA shareholders vote for merger approval – Motorsports

It’s official, or at least Almost official.Fiat Chrysler Automobiles and PSA Voted to be merged Stellantis, A new mega car maker that combines two companies with more than 14 car brands under one umbrella. All that remains in the process is to complete the transaction and offer a stake in Stellantis. It trades on three exchanges: Paris, Milan and New York.

The merger has been accelerated in recent weeks, probably due to the costs and losses resulting from the global coronavirus pandemic. The plan was to always seek shareholder approval and a formal launch in the first quarter of 2021, which was subject to a shareholder vote on January 4. Once that step is complete and approved, Stellantis is here.According to a press release from FCAThe transition is expected to be completed on January 16th and will be officially launched on January 18th when Stellantis shares are on the market.

According to the Associated Press, Stellantis has the capacity to manufacture 8.7 million cars annually. Volkswagen, Toyota, And Renault-Nissan are still highly capable, but new conglomerate executives may be interested in saving $ 5 billion annually from the merger. This is higher than previous estimates, but due to the nature of the savings, some people look carefully at these 14 brands and wonder how many brands can be dropped. Of particular note are the following FCA brands: Chrysler,Current, Pacifica And Voyager Minivan, and 300 sedan.

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Billed as an equal merger, The structure of the transaction is technically PSA has FCA.. Carlos Tavares, CEO of PSA, will become CEO of Stellantis, and Mike Manley, CEO of FCA, will oversee all operations in the United States. The Associated Press states that 40% of the planned savings from the merger will come from combining platforms across different brands. Increased purchasing power can also be saved, especially by investing in hybrid and electrical technologies that both entities are desperately needed.

– Motorsports

Stellantis is born when PSA and FCA shareholders vote for merger approval Stellantis is born when PSA and FCA shareholders vote for merger approval

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