Fiat Chrysler CEO Continues To Talk About GM Merger
September 1, 2015
Sergio Marchionne, chief executive of Fiat Chrysler Automobiles has continued to talk about his desire to merge the automaker with General Motorols.
Marchionne has never been one to shy away from his public belief that consolidation between the two manufacturers could help greatly reduce rising production costs, while offering a more streamlined company. Marchionne went so far as to propose a merger in an email to GM CEO Mary Barra.
GM turned down his request but he continues to believe it is the right move.
In a new report from industry publication Automotive News, Marchionne avoided claiming there could be a hostile takeover bid, instead hinting, “There are varying degrees of hugs.” The company’s CEO then added, “it would be unconscionable not to force a partner.”
Marchionne says the merger would create a company with $ 30 billion in earnings before interest, taxes, depreciation and amortization (EBITDA).
He admits that executives at General Motors are refusing to talk with him at this time.