For generations, the big Detroit three automakers were General Motors, Ford and Chrysler. As of Monday, when trading on the New York Stock Exchange started or the first time, there will be GM, Ford and Fiat Chrysler Automobiles NV.
FCA’s debut on Wall Street makes the history books, as the listing on the huge stock exchange gives investors the chance to expand their portfolio in the thriving car and truck market, albeit with a heavy gamble in an automaker covered in debt.
So far, investors seemed prudent when trading the new company, with FCA climbing 1.8% to close yesterday at $8.92 – against the benchmark price set last Friday by the outgoing parent automaker Fiat SpA of $8.76.
Merging Fiat SpA with the Chrysler Group LLC has led to the creation of the seventh-largest automaker in the world – a company legally registered in the Netherlands and with its global headquarters in London. On the highly competitive US market – the second-biggest in the world – FCA ranks fourth – thanks to the increasing sales of the brands that form the predecessor Chrysler Group LLC.
On the other hand, both Fiat and Chrysler have been lagging global rivals on the highly lucrative Chinese market – the largest single auto market and the second biggest when it comes to luxury vehicles.
Via Automotive News Europe