Deals
Fiat Chrysler and Peugeot to Merge Into $46 Billion Automaker
- Tavares to lead combined company as CEO, with Elkann chairman
- Merged company will leapfrog GM to become No. 4 automaker
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PSA Group and Fiat Chrysler Automobiles NV agreed to combine to create the world’s fourth-biggest carmaker, as the manufacturers prepare to shoulder the costly investments in new technologies transforming the industry.
In the biggest auto tie-up since Daimler’s ill-fated purchase of Chrysler in 1998, the French and Italo-American carmakers will each own half of the enlarged business. The new company, with global sales of 8.7 million vehicles, will be run by PSA Chief Executive Officer Carlos Tavares, with Fiat Chairman John Elkann holding the same role.