PSA group wants to team up with Fiat Chrysler

PSA group wants to team up with Fiat Chrysler

March 19, 2019 0 By autotimesnews

There are also Jaguar Land Rover

The Peugeot family, one of the three largest shareholders of the PSA group, is ready to support the takeover or merger with Fiat Chrysler Automobiles, as the company aims to add more brands. One of the claimants to unite with PSA is also called the Jaguar Land Rover.

The reason for this decision is a successful experience with Opel, which PSA bought from General Motors in 2016. The merger with FCA would help strengthen the position of the group in North America, mainly due to the Jeep and RAM brands, and in light of the restarting of Peugeot in the United States would give access to an extensive network of dealerships and service stations. Fiat Chrysler Automobiles itself is also not against cooperation, as directly stated by the group’s chief executive Michael Manley.

Insiders say PSA is also interested in Jaguar Land Rover. The company is owned by Indian Tata Motors, but has recently experienced financial difficulties: due to falling sales in China and high operating costs, JLR’s loss for the fourth quarter of 2018 was about four billion dollars.

Under the control of the French, Opel completely passed in March 2017. The amount of the transaction with General Motors amounted to 2.2 billion euros. Together with the “Opel” the French also received the British brand Vauxhall, which produces turned right-hand drive models of the German company.