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Fiat Walks Away From Renault Talks, Blaming French State

  • Decision follows second board delay at French carmaker
  • Fiat: Political conditions for successful deal ‘do not exist’
Bloomberg business news
Fiat Abandons Renault Proposal
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Fiat Chrysler Automobiles NV abruptly withdrew its offer to combine with Renault SA after the French carmaker’s board -- on the brink of approving the deal -- postponed a decision for a second time.

Both companies’ shares fell in early trading, with Renault tumbling as much as 8% in Paris and Fiat dropping as much as 3.8% in Milan. A deal would have created a company with a combined market value of about 35 billion euros ($39 billion).