from italiaspeed
Posted: 22 Jan 2006, 12:03
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At the end of last week two of the Fiat Group's major banking shareholders sold the bulk of their stakes, the first sign that individual members of the consortium who took up a 27 pct share in the Italian carmaker last autumn are now selling up. The consortium of banks converted a 3 billion euro loan given to Fiat in 2002 into a 27 pct stake last September, the preferred option favoured by Fiat CEO Sergio Marchionne.
Since September 2005 Fiat Group shares have continued to rally, rising to trade at over 8 euros, and two banks last week took advantage of this buoyant state of affairs, although the share sales last week were well below the banks' fixed conversion price of 10.28 euros per share. Banca Monte dei Paschi di Siena SpA announced on Friday it has sold its entire allocation of around 29 million shares (close to 2.5 pct of Fiat's capital) to JP Morgan and Goldman Sachs, two institutions that have recently positively rated Fiat's shares.
At the end of last week two of the Fiat Group's major banking shareholders sold the bulk of their stakes, the first sign that individual members of the consortium who took up a 27 pct share in the Italian carmaker last autumn are now selling up. The consortium of banks converted a 3 billion euro loan given to Fiat in 2002 into a 27 pct stake last September, the preferred option favoured by Fiat CEO Sergio Marchionne.
Since September 2005 Fiat Group shares have continued to rally, rising to trade at over 8 euros, and two banks last week took advantage of this buoyant state of affairs, although the share sales last week were well below the banks' fixed conversion price of 10.28 euros per share. Banca Monte dei Paschi di Siena SpA announced on Friday it has sold its entire allocation of around 29 million shares (close to 2.5 pct of Fiat's capital) to JP Morgan and Goldman Sachs, two institutions that have recently positively rated Fiat's shares.