Fiat Chrysler Automobiles (FCA), the seventh-largest automaker in the world, skipped the usual investor tour that was traditional before launching its share listing on the NYSE – but they are now starting to meet them after the latest financial move.
FCA started seeing the investors late last week on Friday after premiering a $2.5 billion convertible bond issue and a share sale – the company merged Italy’s Fiat SpA and America’s Chrysler Group LLC and moved its primary share listing to the New York Stock Exchange in October. The company, which has initiated the latest financial moves in order to lower its outstanding debt pile and also start the fund gathering campaign to develop its ambitious five-year strategy.
FCA NV – a company that has a Dutch incorporation, the global headquarters in London and share listings in New York and Milan, aims to use 48 billion euros ($59 billion) during the next half decade to transform Jeep, Maserati and Alfa Romeo into global brands. The company, without neglecting mass-market brands such as Fiat or Chrysler, wants to focus on the fast-growing and high-margin market for luxury models in order to later on rival automakers such as Volkswagen’s premium brands or BMW.
Now, according to bankers, FCA Chief Executive Sergio Marchionne has initiated a four-day roadshow with investors in New York, after previously initiating last week the share and bond offers that were made public back in October.