The Fiat Chrysler-Peugeot merger gets the OK from shareholders
For the past few years, Fiat Chrysler Automobiles has been looking to get married. After its advances were spurned by the likes of General Motors and Volkswagen, a merger with France’s Renault looked possible, until the death of FCA boss Sergio Marchionne in 2018. Then, in October, news arrived that FCA had found a new French friend—Peugeot SA. On Monday, Peugeot’s shareholders voted to approve the merger.
The new company, called Stellantis, will be headquartered in Amsterdam, Netherlands, with its shares listed on exchanges in Milan, New York, and Paris. The combination of its 14 brands will make Stellantis the world’s fourth-largest automaker, bringing Abarth, Alfa Romeo, Chrysler, Dodge, Fiat, Jeep, Lancia, Maserati, and Ram (FCA’s brands) together with Citroen, DS, Opel, Peugeot, and Vauxhall (PSA’s brands) under the same roof.
As mergers go, this one looks pretty sensible. Jeep and Ram have been FCA’s two real success stories, which has meant the company depending on North American sales. PSA, on the other hand, has no real presence in North America but has strong sales in Europe, as well as more modern vehicle architectures and a more advanced electrification program.