Fiat-Chrysler purchase approved by European Commission
July 27, 2009 by Matt Brogan
Fiat’s acquisition of Chrysler has been given unconditional approval by the European Commission on the grounds that the enlarged carmaker would not hurt global competition.
Although the ruling was not unexpected it has helped clear one of the final hurdles facing the Italian company in securing the famous American marque.
“The Commission’s examination of the transaction showed that the horizontal overlaps between the activities of Chrysler and Fiat are limited,” it said in a statement. “As Chrysler is not present on the upstream markets concerned, the transaction would not strengthen the market position of the merged entity or the extent of its vertical integration.”
The Commission’s approval made not of the fact that Fiat could, over time, acquire more than 50 per cent of Chrysler after the manufacturer repays its substantial loans to the United States Treasury.
The European Commission represents 27 European nations.
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That 500 Abarth looks like a cracked egg.
I doubt very much that anything would have happened if they did not approve.
FIAT can hardly sell cars outside of Italy and Europe because of protectionism there.
AAA
Thats not exactly right is it….their have 25% of the Brazilian Market and getting stronger.
4 years ago they were on the verge of bankrupcy and Europes No 9 carmaker.
Today they are Europes fastest growing brand are in 4th position. In a global market place where many car cars are reporting massive losses the Fiat Group posted in excess of 300m Euro trading profit just in the last quarter.
Now they have access to rear wheel drive platforms courtesy of Chryler and access to the US dealer network.
These guys will just keep growing…as they also have Europes cleanest engines.
Try spotting a FIAT in Aust, NZ or the US ~
AAA – I see a fiat everyday in Sydney now……..
AAA – I saw at least 3 Fiat Puntos in WA over the weekend.. One of them was that retina burning Orange which was at the lights right next to an Orange XR5 Focus
I also saw a couple of Winnebago motor homes using Fiat cab chassis…. does that count?
For every FIAT you’ve spotted… there are thousands of other cars ~