FIAT Auto rescue plan?
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Pieter Bergman
FIAT Auto rescue plan?
Care Lancisiti,
I read in yesterdays (4/1/03 independant.co.uk) Independant Newspaper here in the UK about
a rescue plan for FIAT Auto in Italy by the man who took over Telecom Italia.
It said that he was going to raise 8.000.000.000 Euro if he got a stake in the
company which was the same size as the Agnelli Holding.......................
Does anyone know anymore about this? Maybe our Italian fratelli can help??
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Nicola
Re: FIAT Auto rescue plan?
I know of a few things. The basic plan say that Roberto Colininno, the man who took over Telecom Italia before being booted out by Gruppo Pirelli, wants to make a move on Fiat Auto. He was given a gold parachute when Pirelli took control of Telecom Italia from him and is now sitting on a mountain of money. Italian Prime Minister Berlusconi has been urging all Italian businessmen to try and help keep "Fiat in Italian hands" and doesn't want GM to take over the company. Colininno is a restructuring and corporate genius who turned Telecom Italia around in a short period of time; Berlusconi sees him as Fiat Auto's last hope before having to sell to GM.
Fueling this are reports from the Italian media that say Colininno created an investment vehicle in November and has a plan already set up. In this plan 8.4 billion euros would be pumped into Fiat Auto - 1 billion would be of his own money, the rest raised by investors and selling off Fiat Group assests like Fidis, Fiat Avio and Toro Insurance. One of those investors would most definitely be GM. The scenario, if approved, would shape up with the Agnelli losing their 30 percent majority control in favor of a 20 percent stake, Colininno and his cohorts would take over 30 percent and GM would take "up to 40 percent" (whatever that means..it could mean anything), and the rest by various investors. Colininno wants to push back the put option to sell the remainder of Fiat Auto to GM for a number of years and keep GM as a major share holder to lend technical expertise and share the costs of engineering. They are already sharing transmissions and engines, and soon platforms, so it only makes sense.
Doing this would help keep Fiat in "Italian hands" while allowing outside influence of GM and other to take part in shaping Fiat Autos future. The most important thing is that Colininno would be installed as CEO/President of Fiat Auto after Fresco leaves next May and would be in charge of overseeing the entire turn around. His hope is to return Fiat Auto as the largest European carmaker...tough thing to do with so much competition.
It may be too much to hope for, but I guess we'll see. Since Fiat, Lancia and Alfa Romeo are all tied to the fate of Fiat Auto, lets hope they succeed.
Fueling this are reports from the Italian media that say Colininno created an investment vehicle in November and has a plan already set up. In this plan 8.4 billion euros would be pumped into Fiat Auto - 1 billion would be of his own money, the rest raised by investors and selling off Fiat Group assests like Fidis, Fiat Avio and Toro Insurance. One of those investors would most definitely be GM. The scenario, if approved, would shape up with the Agnelli losing their 30 percent majority control in favor of a 20 percent stake, Colininno and his cohorts would take over 30 percent and GM would take "up to 40 percent" (whatever that means..it could mean anything), and the rest by various investors. Colininno wants to push back the put option to sell the remainder of Fiat Auto to GM for a number of years and keep GM as a major share holder to lend technical expertise and share the costs of engineering. They are already sharing transmissions and engines, and soon platforms, so it only makes sense.
Doing this would help keep Fiat in "Italian hands" while allowing outside influence of GM and other to take part in shaping Fiat Autos future. The most important thing is that Colininno would be installed as CEO/President of Fiat Auto after Fresco leaves next May and would be in charge of overseeing the entire turn around. His hope is to return Fiat Auto as the largest European carmaker...tough thing to do with so much competition.
It may be too much to hope for, but I guess we'll see. Since Fiat, Lancia and Alfa Romeo are all tied to the fate of Fiat Auto, lets hope they succeed.
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Pieter Bergman
Re: FIAT Auto rescue plan?
Grazie Mille,
Can you send this to my email address?
missionmanage@beeb.net, so I can send it to my network of Lancisti.
mi chiamo Pietro.............................................
Can you send this to my email address?
missionmanage@beeb.net, so I can send it to my network of Lancisti.
mi chiamo Pietro.............................................