Fiat won't buy stake in Mazda

The boss of Fiat says his company will not purchase a stake in Mazda despite the two automakers agreeing to collaborate on future sports cars.
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Fiat chairman John Elkann told Reuters there were no plans for a deepening of the partnership announced last week, which will see the next-generation versions of the Mazda MX-5 and the Alfa Romeo Spider developed together on the same all-new rear-wheel-drive platform.

Elkann told reporters Fiat was committed to its strategy of “simplifying our investment portfolio and extending our geographical reach”.

Fiat currently owns 58.5 per cent of Chrysler, and is set to increase that stake to 61.5 per cent in July. The Italian automotive giant ultimately plans to take over 100 per cent of the Detroit-based manufacturer, but has not outlined a timeline for the move.

Mazda is one of the few global manufacturer not tied to a large-scale alliance with another automaker. In February, just weeks before announcing the company’s fourth consecutive loss and its worst financial result in more than a decade, Mazda CEO Takashi Yamanouchi said he was “considering every option” to help generate capital for his company and would “actively pursue” global alliances.