• Sign in to follow this  
    Followers 0

    Marchionne Tries Another Way To Get GM, Looks To Alternatives


    • Sergio Marchionne Wants A Partner Badly

    FCA CEO Sergio Marchionne is quite serious on this consolidation of the automotive industry. Last month, it was reported that Marchionne emailed General Motors CEO Mary Barra about a possible tie up and wanting to meet back in March. Barra rejected this idea outright. But this isn't stopping Marchionne.

     

    The Wall Street Journal reports Marchionne is turning to activist investors to compel GM into this idea. There is prescient for this idea as earlier in the year, a group of investors approached GM to buy back $8 billion of their stock. Through negotiation, GM agreed to buy back $5 billion of stock.

     

    The other prescient goes back to 2006 when Nissan CEO Carlos Ghosn teamed up with activist investor Kirk Kerkorian to have GM join the alliance with Nissan and Renault. After weeks of discussion, GM declined to join.

     

    If this idea goes no where, Marchionne has a Plan B. Bloomberg has learned from sources that there is a fallback option where Marchionne could talk to other automakers. Such automakers include Volkswagen, Mazda, and PSA Peugeot-Citroen.

     

    Source: The Wall Street Journal (Subscription Required), Bloomberg

    0


    Sign in to follow this  
    Followers 0


    User Feedback


    far as I kno VW, Ford, and even PSA have already said they don't want to with FCA. Hell Carlos Ghosn said he was good going it without Sergio. As I said yesterday.. I wouldn't mind GM snagging Jeep, finally giving it the reliable drive line it needs and GM an established Off-Road vehicle WITHIN GMC.. but thats about it,.

    0

    Share this comment


    Link to comment
    Share on other sites

    This is sad as it sounds like he is desperate to find a partner knowing FCA has limited time before Bankruptcy happens.

     

    Gut tells me an ugly change will happen in the next 12-18 months with FCA.

    0

    Share this comment


    Link to comment
    Share on other sites

    GM got rid of Oldsmobile, Pontiac, Saturn, Hummer, and Saab in the six years before filing bankruptcy.

     

    Now FCA wants to merge with GM.  If ANY deal goes through, then how will the brands be positioned?

     

    Chrysler = Oldsmobile?

    Dodge = Pontiac?

    Jeep = Hummer?

    Fiat = Saturn?

    Alfa Romeo = Saab?

    0

    Share this comment


    Link to comment
    Share on other sites


    Your content will need to be approved by a moderator

    Guest
    You are commenting as a guest. If you have an account, please sign in.
    Add a comment...

    ×   You have pasted content with formatting.   Remove formatting

    ×   Your link has been automatically embedded.   Display as a link instead

    ×   Your previous content has been restored.   Clear editor




  • Popular Stories

  • Today's Birthdays

    1. gmcbob
      gmcbob
      (42 years old)
  • Similar Content

    • By dfelt
      G. David Felt
      Staff Writer Alternative Energy - www.CheersandGears.com
       
      Europe's 400 Ultra-Fast Charging Network by 2020

      Europe like America has the 3 basic charging standards in play in their fragile network of 2016. These is what we know as the 110, 220 and 440, level 1, 2 and 3 chargers. Yet Europe is not standing by waiting for Tesla or American Auto companies to drive EV auto's. Instead Europe has built the following consortium of Auto companies who have all chosen to contribute an equal amount to building the next generation charger network. VW, GM, BMW, Daimler, FORD, FCA, Hyundai, Volvo and Jaguar Land Rover have choosen to build 400 locations over the next 3 years that will sense and charge up to 350 kW in the period of a quick Coffee break. This is significantly faster and higher than the Tesla 120kW fast charging system. The goal by the European Government is to offer road trip worthy auto's with fast charging to bring less noise and cleaner air to European cities by 2020 and to make the bulk of inner city auto's EV's within 10 years of the fast charging system going live, so by 2030.

      Diamler is wanting to lead the European charge with their 300+ kilometer EV-CUV

      This would seem to show that Tesla has had the desired effect of making a market changing revolution of how companies and governments see the future of transportation.
      Source PM
    • By William Maley
      Sales of Fiat vehicles in the U.S. have been tanking and FCA is making a drastic change to try and reverse this. Automotive News got their hands on documents revealing a new pricing structure that will see Fiat cut the prices on some of their models.
      The base 500 will see a price cut of $2,000 ($14,995 from $16,995). The price doesn't include a $995 destination charge. The big price cuts will come to the 500C lineup as there will now be a $1,495 difference between the cabrio and regular hardtop. A key example is the 500C Abarth which sees its price drop from $26,695 to $21,490 for 2017. Prices for the 124 Spider and 500X remain unchanged.
      A Fiat spokesman declined to comment.
      Source: Automotive News (Subscription Required)
      Pic Credit: William Maley for Cheers and Gears

      View full article
    • By William Maley
      Sales of Fiat vehicles in the U.S. have been tanking and FCA is making a drastic change to try and reverse this. Automotive News got their hands on documents revealing a new pricing structure that will see Fiat cut the prices on some of their models.
      The base 500 will see a price cut of $2,000 ($14,995 from $16,995). The price doesn't include a $995 destination charge. The big price cuts will come to the 500C lineup as there will now be a $1,495 difference between the cabrio and regular hardtop. A key example is the 500C Abarth which sees its price drop from $26,695 to $21,490 for 2017. Prices for the 124 Spider and 500X remain unchanged.
      A Fiat spokesman declined to comment.
      Source: Automotive News (Subscription Required)
      Pic Credit: William Maley for Cheers and Gears
    • By dfelt
      G. David Felt
      Staff Writer Alternative Energy - www.CheersandGears.com
       
      Tesla / Solarcity merger, Brilliant or Disaster?

      Tesla announced their intent to buy SolarCity and some screamed the sky is falling. Tesla moves forward with offering a complete home solution of Solar panels, battery bank and 220V charging for your Tesla and believes they have the future tied up in a single one stop shopping solution that beats all the other Auto OEMS.

      The merger final vote by Solarcity shareholders is scheduled for Nov 17th 2016. Yet with this deal not done yet, there are many that have divided into two camps, those that think this is brilliant such as reported by Barron's yesterday that ISS one of the largest outside analyst groups that advises shareholders on mergers gave it's blessing to what they believe is an outstanding tie up of two companies that can maximize return on investments. Barron's believes that Tesla has addressed all the concerns that allow for a successful merger of the two companies and a maximizing of complementary products.
      Barron's Story
      One CNBC story feels that this merger might even be a little late. They agree that Solarcity will provide about $1 Billion next year in revenue to the new merged company and add about $500 million in cash to the Tesla corporation over the next 3 years.
      CNBC Story
      Then you have the latest story also from CNBC where a different analyst believes this is nothing but one large mistake and that is due to what he sees as an impossible return on the investment. Yet even with that he also points out to strong supporters such as Ron Baron who ownes 1.5 million shares that see a 30 to 50 times return on the stock due to the merger. 
      CNBC Story 2
      Yet with all this,  “Playing Amish Paradise in my Tesla,” Musk shared with his 5.8 million Twitter followers on Sunday we have the man himself seeing a much simpler life for us all in the new EV world.
       
      So what is your thoughts on this whole merger and the new EV world Musk sees for us all?
       
    • By William Maley
      In 2016, nine brands sold 20 diesel models in the U.S. But in light of the Volkswagen diesel emission scandal, a number from Volkswagen, Audi, and Porsche have been sidelined. But there are diesel models from GM, FCA, BMW, Mercedes-Benz, Jaguar, and Land Rover still being offered. But the only 2017 models you can buy at the moment are from Jaguar and Land Rover. Where are the rest? In limbo thanks to a new battery of tests being doing by the EPA.
      Automotive News reports that since last October, the EPA has been subjecting diesel models to new tests to determine if other automakers are pulling any sneaky cheats. The EPA hasn't said anything publicly about the tests aside from them keeping the vehicles and testing them in unpredictable ways. So far, the new tests haven't uncovered any cheating.
      "It is true that diesel vehicles are getting extra scrutiny and that has extended the certification process longer than normal. In general, manufacturers have been supportive of this additional testing and have adjusted their timing to account for the additional test duration," EPA spokesman Nick Conger said to Automotive News.
      Case in point, BMW will not be launching their 2017 3-Series and X3 diesels until the end of the year, with the X5 following in January. Meanwhile, sources at GM tell Automotive News they're awaiting approval for 2017 Chevrolet Colorado and GMC Canyon diesels before they start sending them out to dealers. FCA doesn't have any 2017 Jeep Grand Cherokee or Ram 1500 EcoDiesels at the moment despite press details saying they would be offered. An FCA spokesman declined to comment to Automotive News - our guess is that FCA is waiting.
      Mercedes-Benz could be the big loser with this extensive testing. The German automaker was planning to sell four diesel models; C-Class sedan, GLC, GLE, and GLS. Mercedes-Benz spokesman Robert Moran tells Automotive News in an email that the priority for the moment is getting the certification for the GLS. Moran declined to say if Mercedes is planning to offer diesel versions of the GLC and GLE. However, the C-Class diesel has been taken off the table due to "product strategy reasons." This model was supposed to go on sale at the beginning of this year.
      Source: Automotive News (Subscription Required)

      View full article
  • Recent Status Updates

  • Who's Online (See full list)