Fiat Chrysler Stock to List on NYSE in August
Fiat Chrysler Automobiles has disclosed in a filing with Securities and Exchange Commission that it is prepared to list 750.5 million shares on the New York Stock Exchange once its shareholders finalize the takeover of the Chrysler Group, reported The Detroit Bureau.
Despite completing the acquisition of Chrysler stock earlier this year, FCA will not exist legally until shareholders vote to approve the merger August 1 during a special meeting. The prospectus filed by FCA said it intends to begin trading its stock on the first day following the merger.
The FCA common shares will be listed on the NYSE and also are expected to be listed on the principal Italian stock exchange in Milan, the Mercato Telematico Azionario, or MTA, pending the approval of authorities in Italy and the Netherlands where the new company will be chartered. FCA has already set up its headquarters in London and will use Chrysler’s home in Auburn Hills and Fiat’s base in Turin as its operational headquarters.
The listing on the NYSE and the MTA is intended to enhance liquidity in FCA shares and improve the Group’s access to additional equity and debt financing sources, while preserving current shareholders’ access to Fiat’s historic trading market, according to the SEC filing.
“With a NYSE listing, FCA will seek to attract interest among U.S. investors seeking to gain exposure to an enlarged group with significant operations in, and market exposure to, North America,” the company said in a statement. But by maintaining a listing in Italy, it said it expects to, “facilitate continued engagement by a pan-European investor base, while at the same time reducing the risk of flow-back of shares held by Italian retail investors.”
However, the prospectus also cautioned the liquidity in the market for FCA common shares may be undermined by trading in two markets at least in the short-term and could result in price differentials of FCA common shares between the two exchanges.
Fiat shareholders will vote on the merger plan that calls for current Fiat shareholders to receive one share of Fiat Chrysler Automobiles for each share of Fiat. Most current shareholders also will be eligible for a second voting share that is designed to reward Fiat shareholder for their loyalty, effectively giving them two voting shares.
Trading will not begin until at least 60 days after the shareholder meeting and after the Dutch and Italian regulators, as well as the stock exchanges, approve the transactions.
Fiat became Chrysler’s 100% owner in January when it agreed to pay $4.35 billion for the 41.5% of the Auburn Hills automaker held by the UAW Retiree Medical Benefits Trust, or VEBA.
Fiat and Chrysler CEO Sergio Marchionne is restructuring Fiat and Chrysler into a single corporate entity to shore up its finances and attract investors. Longer-term, FCA’s plans call for raising its credit rating to investment grade, making it less expensive to borrow money from banks.
Exor, an investment company controlled by Fiat’s founding Agnelli family, is currently the largest shareholder of Fiat. Exor owns 30.05% of Fiat and will likely hold the same interest in the new company.
More Industry

Ownership Priorities are Shifting
A new survey shows that in the U.S. vehicle quality for generation Z is largely defined by advanced safety features, intuitive technology and premium sound systems.
Read More →
Pump Price Jump Calculated
ISeeCars.com examined fuel costs for different power trains, finding which ones have experienced the biggest hits since the war in Iran commenced.
Read More →
Black Book: Weekly Market Update
Wholesale values fell last week despite the spring season still being in the traditional full-gear mode, analysts said.
Read More →
Arkansas Auto Group Acquires First Indiana Rooftop
Performance Brokerage Services represented both the buyer and seller in the sale of Carver Toyota of Columbus by Carlock Automotive Group.
Read More →
Stellantis to Dive Into U.S. Lending
The multinational maker of Chrysler, Dodge, Jeep, Ram and multiple other brands received conditional approvals for a Utah-based industrial bank.
Read More →
New-Vehicle Prices Rise
With April sales down, higher prices on in-demand large vehicles helped inflate the overall ATP, though increases were under long-term averages, Cox Automotive reported.
Read More →
Black Book: Weekly Market Update
Last week in the wholesale automotive market proved to be a mixed bag, analysts reported.
Read More →
Black Book: Weekly Market Update
Conversion rates were flat last week at 63%, Black Book analysts calculated, as low-mileage and almost-near units outpaced the overall market.
Read More →
EU Auto Association Urges Action
Trade relations between the European Union and the U.S. are at risk, causing the European Automobile Manufacturers Association to push lawmakers to make a decision.
Read More →
Driving into the Super CFC Era
Understanding the risks and benefits of retail accounting and Super CFCs can help you better present options to your dealer partners.
Read More →