It’s not a secret anymore that Fiat wants to increase its stake in Chrysler Group LLC, right? For those who don’t know, the Italian manufacturer currently owns 20 percent of Chrysler Group, but it appears that its plans are very big for this year.
As a result Fiat wants to increase its stake to more than 50 percent before a planned initial public offering by the U.S. carmaker this year. Fiat obtained the 20 percent stake as part of Chrysler’s bankruptcy reorganization in 2009.
Fiat can increase its stake by 15 percent when Chrysler will meet its sales objectives outside of North America, sells a domestically made car in the U.S. that gets 40 mpg and will make a small engine in the United States.
“I think it is possible, don’t know whether it is likely, but it is possible that we go over the 50 percent if Chrysler decides to go to the market in 2011,” said Sergio Marchionne, CEO of both automakers.
Marchionne also said last month that the manufacturer is considering repaying U.S. and Canadian government loans before 2013, in order to allow Fiat increase its stake in Chrysler by 16 percent. [via autonews - sub. required]