The Board of Fiat Chrysler Automobiles N.V. (FCA) , meeting this evening under the Chairmanship of John Elkann, has resolved to withdraw with immediate effect its merger proposal made to Groupe Renault.
FCA remains firmly convinced of the compelling, transformational rationale of a proposal that has been widely appreciated since it was submitted, the structure and terms of which were carefully balanced to deliver substantial benefits to all parties. However it has become clear that the political conditions in France do not currently exist for such a combination to proceed successfully.
FCA expresses its sincere thanks to Groupe Renault, in particular to its Chairman and its Chief Executive Officer, and also to the Alliance partners at Nissan Motor Company and Mitsubishi Motors Corporation, for their constructive engagement on all aspects of FCA’s proposal.
FCA will continue to deliver on its commitments through the implementation of its independent strategy.
For its part, Renault expressed disappointment:
Groupe Renault expresses its disappointment not to have the opportunity to continue to pursue the proposal of FCA (Fiat Chrysler Automobiles).
We are gratified by the constructive approach of Nissan and wish to thank FCA for their efforts and the Renault’s Board of Directors for its continued confidence.
We view the opportunity as timely, having compelling industrial logic and great financial merit, and which would result in a European based global auto powerhouse.
Further, we believe it emphasizes the attractiveness of Renault and of the Alliance.