After a long year of negotiations, the agreement on the merger between the two automotive giants FCA and PSA Group has given rise to the new company, called Stellantis. The name says it all: it comes from the Latin word “stello”, which means “to be illuminated by the stars” and fully embodies the project that John Elkann and Portuguese Carlos Tavares have in mind for the group, namely to merge 14 major automotive brands under one sky and create a constellation of products like never before.
The fusion, which officially took place on 16 January 2021 following the approval by the respective shareholders’ meetings of the merger plan between the two companies, finally makes the dream of Sergio Marchionne, the late FCA CEO, come true and brings to light the world’s fourth largest car manufacturer.
The brands that the two car manufacturers are bringing together are many. On the FCA side: Abarth, Alfa Romeo, Chrysler, Dodge, Fiat, Fiat Professional, Jeep, Lancia, Ram, Maserati; and on the French side: Peugeot, Citroen, Ds Automobiles, Opel and Vauxhall. Employees are equally divided: about 200,000 each for FCA and Psa, while in terms of number of cars sold, Fiat Chrysler brought 4.55 million and Peugeot Citroen 3.51 million. In terms of turnover, the Italian group’s share is 108.187 billion euro and the French group’s 74.7 billion.
Following the announcement of the new Stellantis Board of Directors, made up of two executive directors, John Elkann (Chairman) and Carlos Tavares (Chief Executive Officer), and nine non-executive directors, Stellantis took its first steps into the financial world, with the listing of the new Stellantis stock on the Milan Stock Exchange and Paris Euronext as early as 18 January 2021, with a resounding success right from the first hours. The following day, the automotive giant entered the important US stock exchange on Wall Street, where the results were not long in coming.
Carlos Tavares has already announced the development and innovation strategy that will characterise the group’s entire operational plan. The objectives are many and varied, but all aimed at the group’s sustainability and growth. For example, one of the main objectives is to electrify the entire range of models that Stellantis has to offer and to strengthen its presence on the Asian market, where both FCA and PSA have had difficulty at the moment. In addition, one of the main long-term objectives is to achieve carbon neutrality across all products, assembly plants and other facilities.
In short, the birth of Stellantis has certainly brought an unprecedented wave of news: Mediability is extremely proud to be able to continue to support this new automotive giant with its analysis and press review services.