Many officials in the government are afraid that Fiat will walk away from the Chrysler deal if a deal is not completed by June 15. Such a move would result in Chrysler’s liquidation, officials said. However, Fiat CEO Sergio Marchionne assured everyone that he and his Italian company isn’t going anywhere.
“We would never walk away,” Marchionne told Bloomberg in response to a question about whether Fiat would pull out of the deal if it isn’t completed by the June 15 deadline. “Never. We should just be patient and let the system work.”
Yesterday, Supreme Court Justice Ruth Bader Ginsburg granted a request to put a hold on Chrysler’s sale to Fiat SpA. Indiana pension funds and consumer groups had asked the Supreme Court on Sunday to put a halt on the sale of Chrysler as they challenge the deal.
Many experts are saying that the latest development in the Chrysler sale to Fiat is just a “road bump.”
Ginsburg’s one-sentence order said that the bankruptcy court orders allowing the sale “are stayed pending further notice” of the Supreme Court.
– By: Omar Rana