Fiat to Raise Chrysler Stake to 61.8% In Full Merger Push-Bloomberg

One of the more underrated investments during the financial crisis was Sergio Marchionne’s acquisition of Chrysler for his company Fiat.  He bought Chrysler straight out of bankruptcy when many people were thinking that the best step would be liquidation, and he has improved their product line and now the company is experiencing explosive growth.  Fiat bought another 3.3%  putting the company’s take in Chrysler to 61.8%.  Marchionne has been clear that he intends to take 100% ownership over time.  Scale in auto manufacturing is so essential and without Chrysler’s profitable North American operations, Fiat would be struggling far more with their money losing European operations.  Very few auto manufacturers are navigating the European crisis successfully so I’d expect to see more reorganizations across the pond.

http://www.bloomberg.com/news/2012-07-03/fiat-to-raise-chrysler-stake-to-61-8-in-full-merger-push.html