FCA confirms the negotiation for the wedding with Peugeot, the securities fly on the Stock Exchange

At the opening of the session the FCA title fails to make a price at Piazza Affari. The Lingotto title marks a 10% increase to 12.9 euros. Exor also performed well (+ 6% at 65.5 euros) and, on the Paris Stock Exchange, Peugeot, which gained 8.27% at 26.98 euros.

Already today, the board of directors of Psa Group is expected to meet to discuss the possible merger. And tomorrow the board of the Italian-American society is called. In short, the risk that should lead to redesigning the new map of car manufacturers changes one of the possible players – Renault finally left the scene at the end of May – it always starts from France. And the Paris government could once again play an important role. We will see. What is certain is that in the field there is a merger hypothesis from which an automotive giant of 50 billion dollars (about 45 billion euros) could be born. But on the discussion table there may also be other options. In any case, it is assumed a path that would lead the Peugeot CEO, Carlos Tavares, to become the CEO of the new company, while the FCA president, John Elkann, would retain his current position. Wall Street, the only market still open at the time of journalistic anticipation, appreciates the transaction by rewarding with a rise of 7.48% the title of the company led by Mike Manley.

What happened after John Elkann's decision to withdraw the offer for Renault? The hostility of the Japanese of Nissan, partner of the car manufacturer led by Jean-Dominique Senard, weighed heavily on the failure but, above all, the failure to support the operation of the French government, shareholder of the automaker, which pointed the index on the risk of cannibalization of brands across the Alps and concerns over employment. The resumption of negotiations has long remained a possibility also for the opening of the top of the French house.

Evidently Psa – with which Fca has a collaboration for commercial vehicles at Sevel in Abruzzo until 2023 – has not been watching. Already on May 30, a title in the French edition of Forbes wondered if Psa was really excluded from the merger game. After all, only in March, according to rumors, the Italian-American group would have rejected the proposals of the CEO of PSA. Now the operation is restarted. For the French company, the alliance would open its doors to the American market, while PSA would bring the platforms on the electric dowry and the most entrenched presence on the Asian front. In this way the fourth world group would be born.

In Italy, meanwhile, the first reactions come from the metalworkers' unions. For Marco Bentivogli, secretary of Fim Cisl «any alliance must be useful to grow in Asian markets, to have technologies and resources for the transition to electricity. Both the Fca and Psa groups need alliances. It would be a resounding setback for the French government that lost the opportunity to create a European champion deThe car with Fca and Renault ». Rocco Palombella, leader of Uilm, emphasizes the need for "FCA to continue to enhance Italian plants and productions". And Michele De Palma, from the Fiom secretariat, calls into question the Presidency of the Council because "it protects the research and development capacity we have in our country because the whole world of Italian components depends on this".