The merger of Fiat Chrysler and Groupe PSA into the newly named Stellantis N.V. is now complete, the company announced in a media release published this week.
FCA and Groupe PSA first signed a binding agreement to enter a 50-50 merger in late 2019. The two companies said previously that by merging together, they will mutually benefit from each other’s large-scale investments in new vehicle platforms, electric and internal combustion powertrains, autonomous vehicles and other technologies.
FCA’s brands include Jeep, Dodge, Ram, Fiat, Chrysler, Alfa Romeo, Lancia, Abarth and Maserati, while Groupe PSA’s portfolio includes Peugeot, Citroën, DS, Opel and Vauxhall. It’s not clear if all of these brands will survive in all markets they currently operate in under Stellantis.
Stellantis, now the world’s sixth-largest automaker by sales, will enjoy a strong presence in Europe thanks to brands like Fiat and Peugeot, while its North American market share will also be decent through the Ram, Jeep and Dodge brands in particular. It will be looking to grow its sales in China, however, previously setting itself a goal of selling 250,000 units in the country annually by 2021. GM, by comparison, consistently sells about three million vehicles in China annually.
Former Groupe PSA chief executive officer Carlos Tavares has been named as the CEO of Stellantis, while Fiat heir John Elkann will serve as chairman. Tavares will hold his press conference as CEO of Stellantis on Tuesday after Elkann and him appear on the NYSE floor to ring the opening bell. Shares in Stellantis will start trading in Milan and Paris Monday and in New York on Tuesday.
FCA CEO Mike Manley will also play a key role in Stellantis operations, heading up its North American business after he took over as FCA CEO following Sergio Marchionne’s death in the summer of 2018.