facebook
twitter
rss
account
search
search
 

Chrysler will not launch as public firm this year

Nov. 25, 2013 at 1:05 PM   |   Comments

MILAN, Italy, Nov. 25 (UPI) -- Italian auto company Fiat said Monday it would not launch Chrysler Group as a public company until the first quarter of 2014.

"It will not be practicable for Chrysler Group to launch and complete an initial public offering prior to the end of 2013," Fiat said in a statement.

"No assurance can be given as to whether or when an offering will be launched as any launch will be subject to market conditions and other relevant considerations," Fiat said.

It had been expected that Fiat would announce a price range for Chrysler this week, The Wall Street Journal reported.

Fiat owns 58.5 percent of Chrysler while a healthcare trust for the United Auto Workers owns 41.5 percent.

Fiat, which took over the company when it emerged from bankruptcy in 2009 has been attempting to buy out the trust to make Chrysler and Fiat one company but the two sides have not been able to agree on price, the Journal said.

An initial public offering, however, can help establish a price, as it can establish a value for the company based on public demand.

Currently, analysts estimate Chrysler is worth $10 billion to $11 billion.

© 2013 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Most Popular
1
New F-35 sustainment system undergoing flight testing New F-35 sustainment system undergoing flight testing
2
Scrap South Stream, Europe says Scrap South Stream, Europe says
3
Apple to authorities: No iPhone user data, even with a warrant Apple to authorities: No iPhone user data, even with a warrant
4
Boeing to build new passenger spacecraft for NASA Boeing to build new passenger spacecraft for NASA
5
New Navy sub ready for outfitting, testing New Navy sub ready for outfitting, testing
Trending News
Video
x
Feedback