FCA-PSA merger: scenarios, risks and opportunities. Bertone speaks
What will change not only for Italy with the merger between PSA and FCA? Conversation with Ugo Bertone, journalist, columnist and expert in the auto sector
It's the big day of Stellantis. Extraordinary shareholders' meetings are called on January 4: they are held remotely due to the epidemic, in Paris at 11 for PSA and in Amsterdam at 2.30pm for FCA.
After the two meetings, only the formalities for the listing of Stellantis on the Paris, Milan and New York stock exchanges will be missing.
The fourth largest car manufacturer in the world is emerging with 8.1 million cars sold, 400,000 employees and over 180 billion euros in turnover.
Numbers that will remain the same even after the wedding? Start Magazine talked about it with Ugo Bertone, journalist, columnist and expert in the automotive sector.
The merger between FCA and PSA takes shape. A merger that is not exactly equal as has been announced …
It is not a joint merger , there is no need for provincialism. It is better to be part of something stronger than to be nothing. The outgoing president of Peugeot in an interview in the French press talks about a fusion between two cultures: the French and the Anglo-American. This is how FCA is perceived.
No reference to Italy?
Nobody. Italy has a number of factories that are the result of successful management, nothing more. Our country does not have and can no longer play a leading role in the auto sector. So a non-equal merger is better than nothing. FCA's is a necessary move.
What changes with the acquisition of FCA by Psa?
FCA will be able to capture from PSA all the technology that it did not have to combat climate change and reduce emissions. Recall that for its still too high emissions, FCA bought credits from Tesla, paying 2 billion dollars .
And in terms of employment?
The fact that FCA will be in the minority on the board of directors – there will be a 5 + 5, with Carlo Tavares valid for both groups – will not give us a disadvantage. We don't think that one more man on the board means one more worker.
What changes should we expect?
The market is changing. And in these months it will be difficult to sell more cars, we must aim to earn more from each single model. We need to take a very strict road in terms of emissions, as the EU asks, but not only …
What else are they called FCA and PSA?
It will be necessary to simplify the structure, production platforms, cut the cuttable, optimize investments and make the most of the factories. And here we must remember that France does not give gifts, but also that the FCA itself, just a few days ago, invested in Poland .
Therefore?
The paradigm has changed, we no longer think by states. And the factories have changed, they have to focus on quality and electricity, they have to put the energy transition into practice. It will not be easy. The richer countries are investing in electricity, Italy is aiming for a transition that also takes into account other technologies.
The one that has just closed is a difficult year for the sector. What future?
Yes, the car comes out of a terrible year and 2021 will only be a year of recovery. A year of work for a future recovery.
Will there be new mergers?
I don't expect big changes in 2021. Possible mergers? Perhaps Ford is increasingly in Volkswagen's orbit. Much, however, will also depend on post- Brexit . The Japanese want to dilute their investments in the UK, will someone replace them? Maybe.
Let's go back to Exor. What will become of Ferrari?
Once Exor gets rid of the management of FCA, he will have to decide what will become of Ferrari. Will there be a dynastic succession? Will Andrea Agnelli arrive? He already has a commitment to Juventus. Ferrari could be not just a car manufacturer, but a brand that operates in luxury. I would not be surprised that the company could attract French luxury capitals.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/smartcity/fusione-fca-psa-scenari-rischi-e-opportunita-parla-bertone/ on Mon, 04 Jan 2021 11:36:58 +0000.