In recent remarks, Fiat CEO Sergio Marchionne said that the Italian carmaker would most likely agree to the valuation of VEBA for its 41.5% interest in Chrysler. The remaining 58.5% is owned by Fiat.
The negotiations have not reached the final phase yet, with a price still subject to further discussions.
Marchionne said that instead of having an IPO for part of its stake, requiring a discount in order to attract buyers, VEBA would most likely enter into a deal with Fiat. He said, "It's highly unlikely that, forced with a real market test (of an IPO), that Fiat and VEBA will disagree on (Chrysler's value)." The remarks were made during a press conference at the Geneva car show.
VEBA is affiliated with the United Autoworker's Union as its health care trust fund. Should the IPO path be taken, it has the right to list part of its stake in the car brand on the NYSE during the public offer.
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