The August 1 shareholder meeting at Fiat SpA concluded with a two-third majority in favor of the planned merger between the Italian automaker and its US subsidiary Chrysler Group LLC.
While chief executive officer Sergio Marchionne was confident of the positive result, about 8% of the shareholders present at the meeting voted against the merger. Now, minutes of the proceeds also show us who were the actual shareholders that voted for or against.
Norway’s sovereign wealth fund, Norges Bank, owning a 2.15% stake, was the biggest single shareholder to vote against the planned merger, followed by People’s Bank of China (2% stake). Among the ones voting for the merger was the Vanguard International Growth Fund, which commends a 2.4% stake. Of course, the biggest Fiat shareholder is the holding group Exor, owned by the Agnelli family – which has a 30 % stake.
The merger is still endangered because of the right to sell back shares to Fiat by dissenting investors. The Italian law allows them to exercise the right because the company plans to move away from its current Italian headquarters to London, UK. In order for the deal to fall apart, just over 5% of the shares (at an exit price of 7.727 euros) need to be sold back to Fiat – which would equate to a payment of more than 500 million euros ($668 million).
Via Automotive News Europe
by Aurel Niculescu
) - Friday, August 8th, 2014 - filed under Chrysler
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