The French Peugeot manufacturer PSA and Fiat Chrysler (FCA) confirmed on Saturday (16. Jan. 2021) that they have completed their mega merger to become the world’s fourth largest auto company. The transatlantic company Stellantis carries 000 car brands from Europe and the USA such as Peugeot, Citroën, Jeep, Maserati or Alfa Romeo . With Opel, a German brand is also included.

Stellantis shares will be sold from today (Monday, 18. Jan. 2021) to in Milan and Paris traded. The new head of the network, Carlos Tavares from PSA, wants to speak to the media on Tuesday. From this day on, the share should also be listed in New York. The stock exchanges there are closed on Monday due to a public holiday.

Right behind Renault-Nissan Stellantis makes Volkswagen or Toyota globally Competitor. Around 400. 000 People. Before the Covid – 19 – pandemic, FCA and PSA together sold more than eight million vehicles and achieved an annual turnover of just under 170 Billion euro. Only Volkswagen, Toyota and the Franco-Japanese Renault-Nissan group were 2019 bigger.

The merger was long prepared – the first announcement was made in October 2019. The Covid – 19 – pandemic and its economic consequences brought the automotive industry a dramatic drop in sales last year.

In the meantime, concerns in the EU had to be dispelled, where it was feared that the planned merger could restrict competition in the market for light commercial vehicles with a total weight of up to 3.5 tonnes. In many countries, either PSA or FCA are the market leaders for light commercial vehicles, and the merger means that one of the most important competitors will be eliminated there.

A conversion is probably inevitable A major reconstruction of the new network is to be expected. Tavares had previously assured that no plants should be closed. The home countries of Peugeot and Fiat, France and Italy, announced that they would be very careful about employment at Stellantis. Italy’s Deputy Economy and Finance Minister Antonio Misiani had told the newspaper La Repubblica , “a possible presence of the Italian state in the share capital the new group “should not be taboo. The French state is already a good six percent in the boat through a holding company.

Tavares had rehabilitated Opel with a hard hand in recent years, leaving many jobs by the wayside. Opel remains the only German brand in the new group.

The Chairman of the Stellantis Board of Directors is John Elkann (44 ), Grandson of the legendary Fiat patriarch Giovanni “Gianni” Agnelli (1921 – 2003). According to the newspaper “Le Parisien”, the Agnelli family will be represented with around 000, 4 percent in the new group. Another larger block of shares is held by the Peugeot family.

Homework: Asia and electric cars As The high numbers and market shares in Europe and North America are generally seen as a strength of the new group, which brings cost and competitive advantages. In the future market of Asia, however, Stellantis is rated relatively weak, as is the case with electric cars.

(fpi)