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Posts Tagged ‘Marchionne consolidation’

Marchionne Changes Course, Claims No Interest in VW Tie-Up

However, FCA's CEO did say he would listen to any pitch from VW.

by on Mar.16, 2017

FCA CEO Sergio Marchionne says he's not interested in a merger with Volkswagen.

After preaching for years about the need for a broad consolidation in the global automobile industry, Fiat Chrysler Automobiles CEO Sergio Marchionne has reversed course or perhaps gotten cold feet.

Following a meeting with President Donald Trump, Marchionne told reporters that he had no interest in pursuing a possible merger with Volkswagen, the world’s largest automaker and the top automaker in Europe where FCA’s European brands are facing the potential of more intense competition from combination of Opel/Vauxhall and PSA.

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Once the PSA takeover of Opel/Vauxhall is completed later this year, it will be the second-largest carmaker in Europe. (more…)

Marchionne: Opel Deal Could Accelerate Industry Push for Consolidation

“A step in the right direction,” FCA CEO still looking for his own alliance.

by on Mar.07, 2017

FCA CEO Sergio Marchionne believes the GM/PSA deal for Opel portends a deal for Fiat Chrysler in the future.

The sale of Opel to French automaker PSA reverberated through the PALExpo convention center on the opening day of the Geneva Motor Show, a number of industry leaders saying they expect GM’s move to dump its long-troubled European brand will lead to a wave of new mergers and acquisitions.

That includes Sergio Marchionne, CEO of Fiat Chrysler Automobiles, who has spent a number of years trying to line up a deal for his own company. General Motors’ decision to dump Opel, Marchionne said during a Geneva media roundtable, could improve the odds of FCA now finding a partner.

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“What we witnessed is a step in the right direction,” Marchionne told a crowd of reporters. Responding to a question about the impact the Opel sale will have on the industry, the FCA chief offered a question of his own. “Will it lead to other deals? The answer is yes, especially if (the takeover) is successful.” (more…)

Marchionne Talks to Tesla, Apple

FCA CEO meets with company leaders.

by on May.13, 2015

Sergio Marchionne's repeated calls for industry consolidation led him to some unusual potential bedfellows: Tesla's Elon Musk and Apple's Tim Cook.

Desperate times call for desperate measures the saying goes and Fiat Chrysler Chief Sergio Marchionne may feel like that’s where he’s at when it comes to his continuous calls for industry consolidation.

He’s been rebuffed by at least one automaker, but undeterred he did find a couple of CEOs who were willing to meet with him: Tesla’s Elon Musk and Apple’s Tim Cook. Marchionne, who’s been told thanks but no thanks by General Motors and Ford, confirmed he met with both Musk and Cook last weekend.

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To paraphrase a famous song lyric: If you can’t meet with the one you love, love the one you meet with. So far, Marchionne seems pretty taken with Musk. (more…)

FCA’s Marchionne Screams for Industry Consolidation

CEO says industry wastes half of capital spent.

by on Apr.29, 2015

FCA Chief Executive Sergio Marchionne reiterated his belief in the need for mergers and consolidation in the auto industry today.

The auto industry globally is failing to earn its cost of capital and needs a major reorganization that would allow major companies, such as Fiat Chrysler Automobiles NV, execute a sweeping consolidation of platforms, technology, and research and development, FCA Chief Executive Officer Sergio Marchionne insisted during a conference call with reporters and analysts.

Marchionne said his talk about the need for consolidation is quite serious and not flip.

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“We need to be brutally honest,” he said, while presenting a series of charts, showing the auto industry isn’t covering the cost of the capital it consumes in enormous quantity. (more…)