Marchionne Tries to Merge With GM
It’s no secret Fiat Chrysler Automobiles CEO Sergio Marchionne wants consolidation in the car business. He’s actively trying to find another company to merge with and he’s even looking in his own backyard.
Marchionne Tries to Merge with GM
In fact GM CEO Mary Barra confirmed today that she received an e-mail from the Italian-Canadian automotive magnate. The message was thoroughly vetted by her management team and board.
After reading the note she said they’re committed to their own plan and thinks it will best serve the interests of GM and its shareholders. It’s reported that Marchionne has been trying to woo activist investors, to convince them to push for an FCA-GM merger.
SEE ALSO: Marchionne Predicts Industry Merger by 2018
Barra has said that they will not entertain anything that distracts from their short- and long-term profitability goals. GM is shooting for 10 percent adjusted margins from their North American operations as early as next year. They’re also doing extremely well in China and don’t want to screw that up.
It’s unclear how a merger between two gigantic global automakers would work as the scale is immense.
[Sources: Automotive News, The Detroit News]
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Born and raised in metro Detroit, Craig was steeped in mechanics from childhood. He feels as much at home with a wrench or welding gun in his hand as he does behind the wheel or in front of a camera. Putting his Bachelor's Degree in Journalism to good use, he's always pumping out videos, reviews, and features for AutoGuide.com. When the workday is over, he can be found out driving his fully restored 1936 Ford V8 sedan. Craig has covered the automotive industry full time for more than 10 years and is a member of the Automotive Press Association (APA) and Midwest Automotive Media Association (MAMA).
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Sergio is in trouble. Big Big Trouble.