Fiat gets 35% stake in Chrysler
Fiat, the maker of the Cinquecento car, will pay no cash for its stake or commit any funding in the future. Chrysler’s majority owner, private-equity group Cerberus Capital Management, will see its 80% stake in the group diluted.
Chrysler Chairman and CEO Bob Nardelli called the deal a “great fit” and said it will give Chrysler access to products that complement its current lineup while creating channels outside North America, an area in which Chrysler has trailed its rivals.
“The partnership would also provide a return on investment for the American taxpayer by securing the long-term viability of Chrysler brands in the marketplace, sustaining future product and technology development for our country and building renewed consumer confidence, while preserving American jobs,” he said.