FCA Backs Away from Deal with Renault

Order Reprints

June 6, 2019—The Board of Fiat Chrysler Automobiles meeting Wednesday evening under the chairmanship of John Elkann, has resolved to withdraw with immediate effect its merger proposal made to Group Renault.

According to the automaker's press release:

FCA remains firmly convinced of the compelling, transformational rationale of a proposal that has been widely appreciated since it was submitted, the structure and terms of which were carefully balanced to deliver substantial benefits to all parties. However it has become clear that the political conditions in France do not currently exist for such a combination to proceed successfully.

FCA expresses its sincere thanks to Groupe Renault, in particular to its chairman and its chief executive officer, and also to the Alliance partners at Nissan Motor Company and Mitsubishi Motors Corporation, for their constructive engagement on all aspects of FCA’s proposal.

FCA will continue to deliver on its commitments through the implementation of its independent strategy.

Speculation of a merger in recent weeks sparked a lot of interest, as the deal would have created the world's third-largest vehicle manufacturer.

Related Articles

FCA Floats Merger Idea to Renault

GM Makes Deal with Google for Infotainment

EV Prototype Does Away with Conventional Brakes

You must login or register in order to post a comment.