Ferrari is to be split from Fiat Chrysler Automobiles in a move that is designed to support the Group's long-term success.
30 Oct 2014 | 4025 Views | By Lewis Kingston, Autocar UK
Ferrari is to be split from Fiat Chrysler Automobiles in a move that is designed to support the Group's long-term success. Sergio Marchionne, boss of FCA (pictured) and more recently Ferrari, said: "Following our acquisition of the minority interest in Chrysler earlier this year, the transformation of Fiat and Chrysler ...
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Ferrari is to be split from Fiat Chrysler Automobiles in a move that is designed to support the Group's long-term success. Sergio Marchionne, boss of FCA (pictured) and more recently Ferrari, said: "Following our acquisition of the minority interest in Chrysler earlier this year, the transformation of Fiat and Chrysler into FCA was completed earlier this month with our debut on the New York Stock Exchange.
"As we move forward to secure the 2014-2018 Business Plan and work toward maximising the value of our businesses to our shareholders, it is proper that we pursue separate paths for FCA and Ferrari."
FCA currently owns 90 percent of Ferrari, while the other 10 percent is owned by Piero Ferrari – the only living son of Enzo Ferrari. A total of 10 per cent of FCA's interest in Ferrari will be offered to public investors. The remainder will be distributed among FCA shareholders. It's expected that Ferrari shares will be listed in the US, and potentially on a European exchange, in 2015.
John Elkann, Chairman of FCA, added: "Coupled with the recent listing of FCA shares on the NYSE, the separation of Ferrari will preserve the cherished Italian heritage and unique position of the Ferrari business and allow FCA shareholders to continue to benefit from the substantial value inherent in this business."
Luca Cordero di Montezemolo, chairman of Ferrari since 1991, recently resigned from his position and was replaced by Marchionne. At the time, he said: "Ferrari will have an important role to play within the FCA Group in the upcoming flotation on Wall Street. "This will open up a new and different phase which I feel should be spearheaded by the CEO of the Group."
There were rumours, however, that Montezemolo and Marchionne had clashed over the future of Ferrari.