Why Fiat Chrysler Automobiles Might Merge With Peugeot
Fiat Chrysler Automobiles (NYSE: FCAU) may have found a dance partner: FCA is in discussions with PSA Group, the holding company of French automaker Peugeot (OTC: PUGOY), about a merger that could create a $50 billion auto giant.
The talks, first reported by The Wall Street Journal and subsequently confirmed by both automakers, come as investors are pressuring global automakers to reduce costs amid a global auto-sales slowdown.
Earlier this year, FCA explored the possibility of a merger with PSA rival Renault, but those talks ended without a deal.
Source Fool.com
