Happy Draghi and Giorgetti: Cnh does not sell Iveco to the Chinese Faw
Cnh does not sell its subsidiary Iveco to the Chinese group Faw. Facts, numbers, rumors and insights
Ok the price is not right and the sale of Iveco to Faw Jiefang is skipped.
So Corriere della Sera today gave the news that CNH Industrial, the parent company that is part of the Exor group, did not consider the Chinese offer to be adequate from an economic point of view, but also in other respects, and thus rejected the proposal that , according to rumors, it would have approached 3.5 billion euros, slightly exceeding the first offer of 3 billion, made last year.
WHAT CNH HAS DECIDED ABOUT IVECO
Cnh Industrial will not sell Iveco to the Faw. The company, in a statement, confirmed that it has finished discussions with the Chinese company related to the company's On-Highway business and to continue to pursue existing plans in view of the separation of these activities in the first part of 2022.
CNH'S NOTE ON IVECO
In confirming the rumors about the halt to negotiations, Cnh Industrial emphasizes that he believes "there are significant opportunities to develop one's On-Highway business as a factor in accelerating the implementation of increasingly sustainable transport solutions and infrastructures, in line with the ambitions of the Green Deal of the European Union ".
WHAT TRADE UNIONS AND GOVERNMENT SAY
Satisfied with the trade unions, the Minister of Economic Development, Giancarlo Giorgetti, "positively evaluates the news of the failure to finalize the negotiation": "The Italian government has followed the whole affair with attention and active discretion because it considers the production of heavy vehicles on tires of strategic interest national – he says -. At this point, Mise is ready to sit down at the table to intervene to protect and maintain this production in Italy ”.
THE INDISCRIPTIONS OF BLOOMBERG
After the indiscretions of the Bloomberg agency, confirmation arrived yesterday from the Italian-American group that produces heavy vehicles for agriculture and construction controlled by Exor, the holding company of the Agnelli family that also owns Gedi.
THE FUTURE OF IVECO
Cnh reiterates its intention to carry on its previous plans: the spin-off with listing on the stock exchange of the activities of the Iveco perimeter, trucks and buses. In an official note, the group underlines the "significant opportunities for the development of the On-Highway business, deriving from more sustainable transport infrastructures and solutions aligned with the objectives of the European Green Deal". “At stake are the funds of the EU and the Recovery Fund on alternative fuels, from electricity to hydrogen, a trend on which CNH is ahead thanks also to the partnership with the American Nikola”, underlines Repubblica (Gedi group).
THE WORDS OF GIORGETTI
Among the first to comment on the Minister for Economic Development, the League's Giorgetti, who said he was ready to use the “ golden power ” to prevent Iveco from falling into the hands of the Chinese: «We welcome and positively evaluate the news. The Italian government has followed the affair with attention and active discretion because it considers the production of heavy vehicles on road to be of national strategic interest ”, said the Northern League minister.
GIORGETTI'S MORAL SUASION
Giorgetti envisages the opening of a table "to protect and maintain this production in Italy". And the ministry underlines how the negotiation would also have failed due to Giorgetti's moral suasion on the CNH property. From the group instead – writes Repubblica (Gedi group) – "they reiterate that it was only a question of an inadequate offer".
THE ROLE OF DRAGONS ACCORDING TO THE SUN 24 HOURS
"A multi-level negotiation in which, according to what is learned, the two parties would have found themselves less and less aligned – underlined Il Sole 24 Ore – To this, in recent weeks the alarms of the trade unions and of the policy ready to evaluate were added the use of golden power. Prime Minister Mario Draghi himself on 8 April expressly recalled the need to increase public protection over Italian activities ”.
THE PRESSING OF DRAGHI AND GIORGETTI
An informal pressure from the government – adds the Confindustria daily – “which in recent days, according to sources close to the government, has intensified on CNH and the shareholder Exor, whose president John Elkann was received by Draghi together on Tuesday at the top of large industrial groups. The minister for economic development, Giancarlo Giorgetti, also strengthened the pressure ”.
THE IVECO FACTORIES
In Italy, the operation would have involved the Suzzara plants, in the Mantua area, where the Daily is produced, the Brescia site, where the Eurocargo is built, and other activities related to the design and engineering of the central bodies of Turin, where there is the Fpt Industrial engine site of which the Chinese would have taken only a share. Fpt, on the other hand, will end up entirely in the spin-off.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/smartcity/draghi-giorgetti-cnh-iveco-alla-cinese-faw/ on Sun, 18 Apr 2021 09:08:16 +0000.