Peugeot shareholders approve mega-merger with Fiat Chrysler

  • At a special shareholder meeting, the deal to form the new company called Stellantis was first backed by top investors with double voting rights.
  • Other PSA shareholders backed the deal at a second meeting held online with a 99.85% approval rate. FCA investors are due to give their verdict later.
FILE PHOTO: The logos of car manufacturers Fiat and Peugeot are seen in front of dealerships of the companies in Saint-Nazaire, France. (REUTERS)
FILE PHOTO: The logos of car manufacturers Fiat and Peugeot are seen in front of dealerships of the companies in Saint-Nazaire, France.

Shareholders in Peugeot owner PSA gave the green light on Monday to the French company's merger with Fiat Chrysler (FCA), one of the last steps towards creating the world's fourth largest automaker.

At a special shareholder meeting, the deal to form the new company called Stellantis was first backed by top investors with double voting rights, including the Peugeot family, China's Dongfeng and the French state, via Bpifrance.

Also check these Vehicles

Find more Cars
Mahindra Ekuv100 (HT Auto photo)
UPCOMING
BatteryCapacity Icon40 kWh Range Icon150 Km
₹ 8.25 - 10 Lakhs
Alert Me When Launched
Porsche 911 Gt3 (HT Auto photo)
Engine Icon3996.0 cc FuelType IconPetrol
₹ 2.50 Cr
Compare
View Offers
Mahindra S204 (HT Auto photo)
UPCOMING
₹ 12 Lakhs
Alert Me When Launched
Lexus Nx (HT Auto photo)
Engine Icon2494.0 cc FuelType IconMultiple
₹ 64.90 - 71.60 Lakhs
Compare
View Offers
Rolls-royce New Ghost (HT Auto photo)
UPCOMING
Engine Icon6750 cc FuelType IconPetrol
₹ 6.95 - 7.95 Cr
Alert Me When Launched
Mercedes-benz Amg E53 Cabriolet (HT Auto photo)
Engine Icon2999.0 cc FuelType IconPetrol
₹ 1.30 Cr
Compare
View Offers

All other PSA shareholders backed the deal at a second meeting held online with a 99.85% approval rate among votes cast. FCA investors are due to give their verdict later on Monday.

"We are ready for this merger," PSA Chief Executive Carlos Tavares said, adding that the date for the closure of the deal would be announced shortly if all shareholder approvals were granted. He said the deal had now passed all regulatory tests.

Also Read : For Peugeot and FCA, completing their merger is just the start

The shareholding structure will be altered as part of the merger, and existing double voting rights - which are accrued over time and give investors more weight in decisions - will not be carried over.

Tavares, who will take the helm of the merged group, will have to revive the carmaker's fortunes in China, rationalise a sprawling global empire and address massive overcapacity, as well as focus like rivals on creating cleaner cars.

Stellantis will have 14 brands, from FCA's Fiat, Maserati and U.S.-focused Jeep, Dodge and Ram to PSA's Peugeot, Citroen, Opel and DS. PSA has traditionally been more focused on Europe.


Get insights into Upcoming Cars In India, Electric Vehicles, Upcoming Bikes in India and cutting-edge technology transforming the automotive landscape.

First Published Date: 04 Jan 2021, 17:45 PM IST
NEXT ARTICLE BEGINS

Check Latest Offers

Please provide your details to get Personalized Offers

Choose city
+91 | Choose city
Choose city
Select a dealer

Want to get the best price for your existing car?

Powered by: Spinny Logo
By clicking "View Offers" you Agree to our Terms and Privacy Policy
Dear Name

Please verify your mobile number.

+91 | Choose city
Couldn't verify the OTP.
It's either expired or it's incorrect.