EU: Fiat Chrysler withdraws €33bn Renault merger offer

Fiat Chrysler Automobiles has withdrawn its proposal for a €33bn merger with France’s Renault, reversing plans to create what could have been the world’s third-largest carmaker.
FCA said in a statement that it “remains firmly convinced of the compelling, transformational rationale” but it had “become clear that the political conditions in France do not currently exist for such a combination to proceed successfully”.
The decision came after Renault’s board for the second time pushed back a decision on whether to engage with the proposal, saying the French government, its largest shareholder, had requested the delay.
After more than six hours of discussion on Wednesday evening at Renault’s headquarters in Paris, the French carmaker said it “was unable to take a decision due to the request expressed by the representatives of the French state to postpone the vote to a later council”.
Full Content: Financial Times

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