The FCA and PSA (Peugeot) groups are discussing a possible merger, according to a Wall Street Journal report
This past May, the FCA (Fiat Chrysler Automobiles) Group entered into discussions with French automaker Renault regarding a possible merger. These discussions continued for weeks but ultimately the parties went their separate ways.
Yesterday, the Wall Street Journal reported that FCA is again looking into merging with a French automaker – but this time it’s the PSA Group, which includes Peugeot. A joint company consisting of the two automotive giants would be worth somewhere in the neighbourhood of $50 billion USD. At this early stage, of course, we know nothing of what form a merged company would take.
According to the Wall Street Journal, the likelihood is of a marriage of equals and a split of company shares. Peugeot’s chief executive Carlos Tavares would take the helm of the merged company, while FCA’S president John Elkann would retain the same position within the new entity.
No doubt there will be much more information and speculation to come regarding this possible merger of auto giants. Stay tuned.