Volkswagen eyes Fiat takeover: Report

Tags: News
The families controlling German auto giant Volkswagen and the Italian-US rival Fiat Chrysler are sounding out the possibility of a merger, the weekly Manager Magazin reported today.

"The Volkswagen group is sounding out a takeover or partial takeover of rival Fiat Chrysler," the magazine said in an article to be published in its edition tomorrow.

"Various talks have already been held between VW's key shareholder Ferdinand Piech, and the Elkann and Agnelli families as main shareholders of Fiat."

The magazine quoted company sources as saying that the Italian maker wanted to focus on its Ferrari sports car brand.

While VW has repeatedly expressed an interest in both the Alfa Romeo and Ferrari brands in the past, the talks were focusing mainly on Chrysler, the report added.

Nevertheless, there were still numerous hurdles to any possible deal, the magazine continued.

These included divergent ideas about the price. And Fiat chief Sergio Marchionne was also looking at other strategic options, the report added.

Both VW and Fiat declined to comment when contacted by AFP. VW shares were the biggest losers on the Frankfurt stock exchange today, shedding 2.27 per cent, while Fiat shares were showing a gain of 3.68 per cent in Milan.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.
Image CAPTCHA
Copy the characters (respecting upper/lower case) from the image.

EDITORIAL OF THE DAY

  • The govt needs to spend its cash without being frugal or wasteful

    Increased government spending can provide a temporary stimulus to demand and output. This is Economics 101.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

Roopen Roy

Livability as a competitive advantage

Some CEOs and policymakers argue forcefully that distance is of ...

Rajgopal Nidamboor

The submarine element of your mind

We are all aware of the power of our will ...

Gautam Gupta

Retailers have it tough, thanks to e-commerce

For the past few months our focus has been on ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture