Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Carmaker Stellantis shares jump in Milan, Paris on first day

Stellantis, the car company combining PSA Peugeot and Fiat Chrysler, was launched Monday on the Milan and Paris stock exchanges, giving life to the fourth-largest car company in the world

Via AP news wire
Monday 18 January 2021 14:26 GMT
Italy Auto Industry Stellantis
Italy Auto Industry Stellantis (LaPresse)

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

Stellantis, the car company combining PSA Peugeot and Fiat Chrysler was launched Monday on the Milan and Paris stock exchanges, giving life to the fourth-largest auto company in the world.

Stellantis shares rallied 7.6% in Milan to 13.53 euros ($16.32). CEO Carlos Tavares said during a virtual bell-ringing ceremony that the merger creates 25 billion euros in shareholder value.

“The focus from day one will be on value creation from synergies, which will increase competitiveness vis-a-vis its peers,” Tavares said.

Stellantis has a new logo and will launch on the New York Stock Exchange on Tuesday, due to the Monday U.S. bank holiday, followed by a press conference with Tavares.

Chairman John Elkann, heir to the Fiat-founding Agnelli family, said that the new company has “the scale, the resources, the diversity and the knowledge to successfully capture the opportunities of this new era in transportation.” The technological shift includes electrified powertrains as well as moves toward greater autonomous driving.

The merger is aimed at creating 5 billion euros in annual savings. The new company will have the capacity to produce 8.7 million cars a year, behind Volkswagen, Toyota and Renault-Nissan.

Fiat Chrysler, which was created from the merger of the Italian and U.S. car companies in 2014, closed Friday down 4.35% at 12.57 euros, having gained in previous days. Its closing market capitalization was under 20 billion euros, far off its 2018 highs of more than 30 billion euros.

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in