Search the Community

Sgcarmart has learnt that Supreme Cars and Cars & Coffee will merge to become one entity from 1 August 2023. This strategic merger leverages on the unique strengths of both companies, who will now offer a whole experience under one roof for all of their customers. In the process, Cars & Coffee will be branded as Supreme Cars moving forward. Read more here: https://www.sgcarmart.com/articles/news/supreme-cars-and-cars-coffee-to-merge-from-august-2023-33446

4th largest automotive group in the making... Fiat Chrysler and Peugeot reach deal to merge DETROIT – From Daimler-Chrysler to Fiat Chrysler, the former American automaker Chrysler Corp. has gallivanted around the world to find partners to assist in its growth or help keep it afloat. It now has its sights set on Peugeot maker PSA Group. Both the French carmaker and Fiat Chrysler on Wednesday confirmed they are in talks to create the world’s fourth-largest automaker with a roughly $50 billion valuation. The PSA board approved the merger and the Fiat Chrysler board is set to meet Wednesday, a person familiar with the deal told CNBC. Executives have briefed regulators in the U.S. and France, the Wall Street Journal reported, citing unnamed sources. Peugeot CEO Carlos Tavares is expected to lead the combined automaker as its CEO, while John Elkann, Fiat Chrysler chairman and heir of the Agnelli family dynasty that founded Fiat, would continue his role with the combined company, the WSJ reported. The deal gives Peugeot six board seats and Fiat Chrysler five, according to the WSJ. “We will not comment beyond the press release issued this morning,” PSA Spokesman Pierre-Olivier Salmon said in an email, citing a press release issued earlier in the day that confirmed the two companies were holding “ongoing discussions aiming at creating one of the world’s leading automotive groups.” Fiat Chrysler spokesman Niel Golightly said he had “nothing to add at this time.” Reports of the talks, including a potential “all-share merger of equals,” as the Wall Street Journal first reported, sent shares of Fiat Chrysler surging as much as 8% on Tuesday. The stock rose by less than 2% in midday trading Wednesday. The confirmation of the talks comes about five months after Fiat Chrysler ended merger discussions with PSA’s French rival, Renault. Fiat Chrysler, the world’s seventh-largest automaker, has been on a quest for a tie-up to grow scale and consolidate costs for several years. ‘Litany of obstacles’ Even if the deal wins approval from both boards, it faces a lot of obstacles. Challenges include consolidation, clashing corporate cultures and government and regulatory approval, among other issues. Talks of a potential tie-up between Fiat Chrysler and Renault ended earlier this year largely due to the French government, which owns a roughly 12.2% stake in Renault. The French government currently owns a 13.7% stake in PSA. Bank of America Merrill Lynch analyst John Murphy cited the French government’s ownership as one of a “litany of obstacles” facing such a deal. Murphy said similar to Fiat Chrysler’s potential tie-up with Renault, the “industrial logic” is “unclear unless there is massive headcount reduction.” Such a deal, according to Murphy, also could alienate U.S. buyers, lowering the potential benefit of the two automakers combining. Even if the merger is approved by shareholders and regulators, “there is a material risk American consumers may shift to Ford and GM products due to FCA possibly no longer being perceived as an ‘American’ identity, not to mention the potential political implications of this potential deal.” Bernstein analyst Max Warburton said a merger between Fiat Chrysler and Peugeot “has more logic” than one with Renault. He specifically cites the potential for Tavares to create “long-term value.” “We ultimately think a deal could be made to work — this would be as much about raising performance as it would be about synergies,” he wrote in a Tuesday note to investors. However, Warburton noted a deal between the two does little to increase business in China, the world’s largest auto market, and the timing is “sub-optimal” given FCA’s earnings are at all-time high. Rewards Analysts see the merger as a quick way for Peugeot to re-enter the U.S. market after a decades-long hiatus, while continuing to grow its European operations following the company’s acquisition of GM’s European business in 2017. “This news is not unexpected, given that both companies have been actively exploring tie-ups with others to yield cost savings and other synergistic benefits,” said David Leggett, automotive editor at data analytics firm GlobalData. For Fiat Chrysler, it would finally cement former CEO Sergio Marchionne’s vision of creating a global automaker with the resources to successfully compete in the ever-changing auto industry. In 2015, Marchionne, who unexpectedly died in July 2018, called for industry consolidation in a presentation called “Confessions of a Capital Junkie.” Consolidation would save capital that was being wasted by automakers developing redundant technologies, he said. “These were not hallucinations of somebody looking to grandstand in the industry,” Marchionne said at the time. “We have spent a lot of time trying to understand what makes this machine tick. And the machine can tick a lot better if certain things happened.” Marchionne believed only a handful of the world’s largest automakers would survive and have the capital to compete as automakers push for autonomous and all-electric vehicles. The deal with PSA would give Fiat Chrysler access to PSA’s newer vehicle platforms in Europe as well as emerging technologies. Marchionne’s methodical combination of Fiat and Chrysler a decade ago is considered one of the more successful tie-ups for the auto industry in the recent years. Chrysler’s previous “merger of equals” with German automaker Daimler-Benz in 1998 was a culture clash and failure that led to a divorce less than a decade later, followed by Chrysler spiraling into bankruptcy in 2009.

Maybe Renault is sick of Nissan & Japanese gov of "tekkaning" Carlos Ghosn, they are going to shelve their plan to merge with Nissan if Fiat Chrysler is interested to merge with Renault. Fiat Chrysler and Renault in talks over mergerCarmakers set to announce collaboration on electric vehicle technology and production https://www.ft.com/content/846bc2f0-7fbf-11e9-9935-ad75bb96c849

my collick who is in PAP grass loots bought the simi Battle For Merger Book, brought it into office and left it in the lounge for everyone's reading pleasure. Where got time? I kacao him for a summary, he IMed me this link: http://mothership.sg/2014/10/12-quotes-on-why-lee-kuan-yew-had-successfully-auditioned-as-a-dj-if-pap-lost-the-battle-for-merger/ The PAP grassroot machinery is so well oiled..... im impressed... Talk 1: 1. And the story begins: “Soon you will have to decide on your future…In the series of broadcasts, I hope to tell you what merger means, why it is good for all of us, why it is coming, and why some people are deliberately creating trouble and difficulty over it to prevent it from taking place”. Radio Talk 1 – Merger and the Stakes Involved Talk 2: 2. Exposing how his opponents operate: “Because the Communist Party is illegal in Malaya none of its followers go about telling people that they are Communists. Publicly they will always pretend to be democrats; privately they keep on recruiting as many effective persons as they can persuade to join them in the Communist cause”. Radio Talk 2 – The Communist Challenge Talk 3: 3. Praising his opponents: “I came to know dozens of them. They are not crooks or opportunists. These are men with great resolve, dedicated to the Communist revolution and to the establishment of the Communist state believing that it is the best thing in the world for mankind”. Radio Talk 3 – How the Communists Operate Talk 4: 4. On opposition leader Lim Chin Siong: “Lim (Chin Siong) was the most important open-front leader the M.C.P. had built up. By 1955 he knew that I knew this. He is a friendly and quiet person. He is prepared to devote his whole life to working for the creation of a Communist Malaya”. Radio Talk 4 – A Lesson for Socialists yawn.. 12 of them... sian liao

Litigation tied to Porsche's failed attempt to buy a controlling share of VW could now threaten the proposed VW/Porsche merger which was announced last year. In a VW prospectus on the merger, the litigation was listed as a risk factor that could delay or even derail the merger plan. Last December, VW obtained a 49.9 percent stake in Porsche AG, the sports car division of holding company Porsche SE. According to the plan, VW will have to pay for the rest of Porsche AG as well as buy the Porsche Holding dealer network, the largest in Europe, by 2011. The lawsuits threaten VW Group's ability to fund the deal without going into substantial debt. Porsche SE is accused of breaching market rules during its (failed) hostile takeover of VW which took place before the companies announced what amounted to a reverse takeover of Porsche by Volkswagen Group in 2009. Lawsuits filed by hedge funds, who claim to have lost more than 1 billion in what they contend was a manipulation of the stock market, were listed as a risk factor in the VW prospectus. "The merger may not be possible at all, or may only be carried out at a later date," reads the prospectus. How much of a risk the litigation is, analysts are not sure. But one banker did say the level of risk as described in the prospectus was "unusual."