GM, FCA retain financial advisors amid merger rumors
Thu, Jun 18 2015GM brought in New York-based Goldman Sachs, while FCA is currently working with Switzerland's UBS. Another source told Reuters that GM was working with Morgan Stanley, as well. But what does all this mean?
Well, as we know, FCA boss Sergio Marchionne still has his eyes set very much on merging his automaker to combat what he claims are the prohibitive costs that come from developing today's vehicles. And while GM has said "no thanks," to a merger, the FCA boss is still looking to shareholders of the world's third-largest automaker to force the issue. Rather than a sign of an impending merger, voluntary or otherwise, between the two automotive powers – analysts called a hostile move by FCA "beyond ambitious," after all – retaining financial advisors on both sides could be viewed as just good business.
By Brandon Turkus
See also: Porsche tops J.D. Power quality index as Korean brands soar, Auto investor Kirk Kerkorian dead at 98, Toyota, Ford not interested in FCA merger.