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FCAU - Fiat Chrysler Automobiles


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with the Ferrari spin off and new convert bond, fiat will have much less debt. suddenly 10% net income margin seems possible now, which means 10bn net income for a sales of 100bn. the CEO five year plan looks much reasonable now. this reminds me of LVS, when it's stock hit 1 dollar due to huge debt but now trades at 40 after they deleveraged.

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Unless I am missing something... If he really believes the value will increase, why would he not excersise and hold the shares not needed for taxes? I don't think we have a complete picture but now that it's NYSE does that subject him to more detailed SEC filings?

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Unless I am missing something... If he really believes the value will increase, why would he not excersise and hold the shares not needed for taxes? I don't think we have a complete picture but now that it's NYSE does that subject him to more detailed SEC filings?

 

according to Bloomberg, those options he excerised were set to expire in early Nov. so he waited till the last minutes.

 

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Unless I am missing something... If he really believes the value will increase, why would he not excersise and hold the shares not needed for taxes? I don't think we have a complete picture but now that it's NYSE does that subject him to more detailed SEC filings?

 

according to Bloomberg, those options he excerised were set to expire in early Nov. so he waited till the last minutes.

 

Looks like he still owns 6.8M shares (from same article):

Mr. Marchionne still owns 6.8 million Fiat shares, after having doubled his stake in the 3½ months to early September.

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http://mobile.bloomberg.com/news/2014-11-05/marchionne-boosts-fiat-chrysler-stake-80-with-options.html

 

Marchionne owns 12.1 million shares in FCA, valued at $134 million at yesterday’s closing price in New York, after exercising options on Nov. 3 for 10.7 million shares and selling part of them “for the sole purpose of funding the strike price and meeting the relevant tax liabilities,” Fiat said late yesterday in a statement. He held 6.8 million shares before the transaction.

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Former Hyundai Motor America boss and current TrueCar President John Krafcik speculates that a VW & FCA merger would be "highly profitable" and a "absolutely brilliant combination".

 

http://www.autoblog.com/2014/11/06/vw-fiat-chrysler-merger-brilliant-krafcik/

 

I had this discussion with a friend the other day re: a possible VW and FCA combo. 

 

It does seem unlikely to happen any time soon, though, because Sergio isn't going to let VW buy the company for a song.  The price of the stock probably needs to go up first.

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Former Hyundai Motor America boss and current TrueCar President John Krafcik speculates that a VW & FCA merger would be "highly profitable" and a "absolutely brilliant combination".

 

http://www.autoblog.com/2014/11/06/vw-fiat-chrysler-merger-brilliant-krafcik/

 

I had this discussion with a friend the other day re: a possible VW and FCA combo. 

 

It does seem unlikely to happen any time soon, though, because Sergio isn't going to let VW buy the company for a song.  The price of the stock probably needs to go up first.

 

It would be cool if they did some type of CHTR/Comcast deal.

 

Spin out Ferrari. Legacy Fiat merges with VW. Chrysler becomes independent again. That might kind of sorta make sense?

 

I dont think it anything will happen but its cool to think about all the possibilities.

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Fiat Chrysler CEO sees Ferrari IPO in second quarter-third quarter of 2015

http://www.reuters.com/article/2014/11/11/us-fiatchrysler-ipo-idUSKCN0IV1I020141111?feedType=RSS&feedName=businessNews

 

Marchionne said on Tuesday that after the capital raising the free float of FCA, which moved its primary listing to New York last month, could increase to around 20 percent of the group's capital. A roadshow to market the capital raising with U.S. investors is planned for December, he added
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I have yet to see any intelligent consideration paid to what a wildly successful aluminum f-150 could do to RAM, not just in profitability but in forced additional redesign opex and capex, buy, sell side, or here.

 

RAM ecoboost 1500 just beat F-150 aluminum as the best green truck.

http://www.usatoday.com/story/money/cars/2014/11/06/ram-pickup-ecodiesel-green-car/18605297/

 

Note that even if F-150 could deploy the 10 speed transmission next year, gasoline engines still have a big problem with towing. RAM diesel could have 15 MPG for towing a 7000 lb trailer but the gasoline engine truck of F-150 or the GM truck would be only 8 MPG.

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Former Hyundai Motor America boss and current TrueCar President John Krafcik speculates that a VW & FCA merger would be "highly profitable" and a "absolutely brilliant combination".

 

http://www.autoblog.com/2014/11/06/vw-fiat-chrysler-merger-brilliant-krafcik/

 

I had this discussion with a friend the other day re: a possible VW and FCA combo. 

 

It does seem unlikely to happen any time soon, though, because Sergio isn't going to let VW buy the company for a song.  The price of the stock probably needs to go up first.

 

It would be cool if they did some type of CHTR/Comcast deal.

 

Spin out Ferrari. Legacy Fiat merges with VW. Chrysler becomes independent again. That might kind of sorta make sense?

 

I dont think it anything will happen but its cool to think about all the possibilities.

 

I believe a large part of the reason for VW to do a deal would be to access Ram and Jeep (and maybe the rest of US brands as well, since they don't really have a strong presence in North America), so would highly doubt they would do it without the Chrysler division. I agree anything happening in the near future (~1 year) seems very unlikely.

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