PSA and FCA are Discussing a Merger
French automaker PSA, which controls Peugeot, Citroën, Opel, Vauxhall and other brands, and Fiat Chrysler Automobiles (FCA) have begun talking about a potential merger, the Wall Street Journal reported yesterday.
In one scenario apparently being discussed, PSA’s Carlos Tavares would become the CEO of the newly formed group, while FCA boss John Elkann would serve as president.
- Also: FCA Grows Impatient with Renault, Withdraws Merger Offer
- Also: Fiat Chrysler and PSA Agree on a 50/50 Merger
Naturally, representatives from both sides have no official comments to make at this point.
Last spring, FCA approached Renault about a possible merger, but talks ended abruptly in June.
Tavares said a few weeks ago that he was open to any opportunity that might present itself, even though PSA wasn’t involved in any negotiations at the time.
“Anything’s on the table if we can make money out of it,” he said back at the Geneva Auto Show inMarch.
PSA last year generated revenue of about $107 billion while FCA did better with $160 billion. However, the former has a stock value of $32 billion versus $26 billion for the latter.
Combining the two automakers into a single entity would unite the Alfa Romeo, Chrysler, Citroën, Dodge, DS, Jeep, Lancia, Maserati, Opel, Peugeot and Vauxhall brands.
