As reported last night, the Supreme Court approved the sale of Chrysler LLC to Fiat SpA after the process faced delays earlier this week. Today, Chrysler completed the sale of its strongest assets to Fiat SpA into a new company known as Chrysler Group LLC. The new company will begin operations immediately.
Fiat CEO Sergio Marchionne will now become CEO of Chrysler and former CEO Bob Nardelli will return to his former position at Cerberus Capital Management.
Fiat currently owns a 20 percent stake in Chrysler Group LLC and will increase its stake to 35 percent when certain milestones mandated by the agreement are achieved.
Fiat cannot obtain majority control of Chrysler until all taxpayer funds are repaid.
55 percent of Chrysler Group LLC is owned by a UAW retiree health care trust fund, 8 percent is owned by the U.S. Treasury and 2 percent is owned by the Canadian government.
– By: Omar Rana