The Chrysler Group LLC is completing its inclusion into Fiat SpA’s Fiat Chrysler Automobiles, an automotive group that has signaled a global approach that could drive it away from its two home territories – Italy and the US.
Fiat is Italy’s biggest private employer, and the country has recently started sliding back into a recession – just as investors, employees and country officials fear the carmaker is backing out of its home region. After the completion of the merger between Fiat SpA and its wholly-owned subsidiary Chrysler Group LLC into Fiat Chrysler Automobiles NV, the resulting company will be Dutch-registered and have a global headquarters in London. Further on, in October the company is expected to list its shares on the New York Stock Exchange, with a secondary listing in Milan.
Now, Matteo Renzi, the Italian Prime Minister is expected to visit Chrysler’s headquarters this Friday, part of a visit designed to rally support for the ailing country’s economy and a show of faith towards the new Fiat Chrysler Automobiles. FCA CEO Sergio Marchionne will be there to take the new PM on a tour of the automaker’s office and technical center.
The chief executive of the new company presented back in May a five-year business plan that would be worth more than $70 billion, in which the company would increase earnings five-fold and sales by 60% through 2018. As part of the strategy, Italy’s production sites would move from lower-margin Fiat production to building many Alfa Romeo and Maserati premium cars for deliveries around the globe.