According to a regulatory filing, find Fiat Chrysler Automobiles (FCA) forecasts that its net industrial debt would be trimmed down by around 715 million euros as the company plans to spin-off its luxury sports car manufacturer Ferrari.
The recently merged FCA – now the seventh-largest global automaker – already acknowledged this month in a separate filing issued to US market regulator SEC that before allowing Ferrari to become independent next year it would gain 2.25 billion euros. Now the balance sheet came to the 715 million euros in the new filing as the company said the latter payment (it also gets rid of Ferrari’s own 133 million euros debt) would be impacted by the loss of Ferrari’s outstanding earnings and receivables worth 1.67 billion euros. Today the Fiat Chrysler Automobiles net debt stands at 11.37 billion euros and the company said the figures could be modified at the actual time of spin-off by potential changes to the two carmakers’ debt sheets.
FCA chief executive officer Sergio Marchionne, also serving now as Ferrari’s chairman after Luca di Montezemolo was ousted, said back in October that the parent company plans to make Ferrari independent – 10% of the automaker’s shares would be sold through an initial public offering and the rest divided among FCA’s shareholders.