Marchionne Targets Chrysler IPO in Second Half of 2011
TURIN, Italy - Fiat and Chrysler CEO Sergio Marchionne said the Italian automaker could increase its stake in the U.S. automaker from the current 20 percent to 35 percent by the end of next year and that Chrysler plans to launch its public stock offering by the end of 2011, reported Automotive News.
Earlier this week, he said the IPO would take place in 2011, but wasn't more specific.
“I don't think it's the first part; I think it's a second-part-of-the-year event,” Marchionne told reporters when asked when in 2011 a Chrysler share sale would take place.
Talking to reporters on the sidelines of the Fiat shareholders' meeting that approved the spinoff of the Iveco heavy truck and Case New Holland farm and construction equipment units from Fiat Auto, Marchionne said Fiat could get an additional 5 percent of Chrysler by year end.
“With the start of production of the Fiat 500 in December, we are fulfilling the first of our three obligations to grow our stake to 35 percent,” he said.
Marchionne added that he is not particularly worried about when Fiat receives its three additional installments of Chrysler equaling 5 percent each.
“What is important to me is to reach the goals we are set [on] reaching; share transferring is just a consequence of the fulfilling of our obligations with the U.S. and Canadian governments,” he said.
More Industry

World EV Adoption Set to Grow
A new report says the segment, despite recent setbacks in some regions, is poised for acceleration as many countries look to reduce pollution.
Read More →
Black Book: Weekly Market Update
Wholesale automotive auction business stayed steady last week as bidders encountered lower prices, analysts observed.
Read More →
Pricing Transparency Drives Purchase Consideration
An annual study by JD Power found that clear pricing matters to consumers on automaker websites, so much so that it increases their purchase consideration.
Read More →
Black Book: Weekly Market Update
Used-vehicle market depreciation was the prevailing story in the wholesale market last week.
Read More →
Smaller Is Looking Better
A growing number of Americans in the market for a new vehicle are opting for more affordable options, not waiting for market stability to bite the bullet.
Read More →
U.S. EV Market Slowly Stabilizes
U.S. electric-vehicle interest is slowly stabilizing since a major dip in sales after last year's end of the federal EV tax credit, and hybrids remain the leading electrified power train.
Read More →
Global EV Market Entering New Phase
Automakers are making investments to lower battery costs and optimize production to meet changing consumer needs.
Read More →
Black Book Weekly Market Update
The holiday weekend, not surprisingly, put a drag on wholesale automotive activity last week, analysts observed.
Read More →
Auto Affordability in Context
Cox Automotive points out the complex circumstances that have led to eye-popping vehicle prices.
Read More →
Black Book: Weekly Market Update
Automotive auction inventory increased last week, giving choosy bidders even more leeway.
Read More →