|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||23.46 - 23.97|
|52 Week Range||17.17 - 27.06|
|Beta (3Y Monthly)||N/A|
|PE Ratio (TTM)||7.02|
|Earnings Date||Jul 24, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||24.75|
Moody's Investors Service ("Moody's") has today assigned a Ba1 rating to Faurecia's new EUR700 million senior unsecured notes due 2027. The new notes rank pari passu with Faurecia's existing senior unsecured debt instruments, also rated Ba1.
BEIJING/SHANGHAI, Nov 11 (Reuters) - Fewer new energy vehicles (NEV) could be sold in China this year than in 2018, an official at the country's biggest auto industry association said on Monday, as customers hold back on purchases following a government decision to cut subsidies. Chen Shihua, assistant secretary general at China Association of Automobile Manufacturers (CAAM), made the comment on Monday after the association reported that sales of NEVs fell 45.6% in October from year-ago levels, following a 33% decline in September. "There is a gap between sales to date and where they were last year, so according to the development trend, we may see negative growth for new energy vehicles this year," he said.
* FACTBOX-Fiat Chrysler, Peugeot tie-up: how does it work? PARIS/TURIN, Italy, Nov 8 (Reuters) - Peugeot maker PSA Group and Fiat Chrysler would retain all of their car brands if their planned $50 billion merger goes ahead, the would-be chief executive of the combined group said on Friday. PSA CEO Carlos Tavares, seen as the architect of PSA's turnaround and in line to take the operational helm in the Fiat tie-up, said in a TV interview that the companies complemented each other well geographically and in terms of technology and brands.
Moody's Investors Service ("Moody's") has today changed the outlook on the ratings of Fiat Chrysler Automobiles N.V. (FCA) and Fiat Chrysler Finance Europe SA to positive from stable. Concurrently, Moody's affirmed the Ba1 corporate family rating (CFR) and the Ba1-PD probability of default rating (PDR) of FCA and the Ba2 ratings on the senior unsecured instruments issued by FCA and Fiat Chrysler Finance Europe SA.
(Bloomberg Opinion) -- Peugeot SA’s equity holders might not think much of its takeover of Italy’s Fiat Chrysler Automobiles NV but bondholders appear to love the idea. Fiat’s credit spreads (the extra yield above the benchmark) have tightened by as much as one-third after news of the deal emerged, accompanying a jump in the company’s share price. Peugeot’s shares fell sharply because of concerns about the premium it would have to pay, but the French company’s credit spreads modestly improved. It’s interesting that Peugeot’s shareholders and bondholders took such different views.One reason is that the European Central Bank is restarting its quantitative easing program, meaning there’s a big new buyer in the euro zone for investment grade corporate bonds. If Peugeot-Fiat becomes reality it will have the right hallmarks to attract Christine Lagarde’s Frankfurt institution. While there’s no firm deal yet, the credit rating agency S&P Global Ratings says the creation of the world’s fourth-biggest carmaker would support Fiat’s debt ratings.However, the ECB could be the real driver for shrinking both companies’ credit spreads. The central bank has just restarted its so-called corporate sector purchasing program as part of the 20 billion euro ($22.3 billion) per month QE bond-buying scheme. According to Mahesh Bhimalingam of Bloomberg Intelligence, there could be about 2.5 billion euros per month of corporate debt purchased.Fiat is already rated BBB- by Fitch Ratings, after being upgraded to investment grade from junk last November. This makes it eligible for inclusion onto the ECB’s list of potential purchases. Peugeot was junk-rated too until recently, but is now a stable BBB- across all the major ratings companies. Both companies were too late to feature in the first round of ECB asset-buying, which snapped up 178 billion euros of corporate bonds.The ECB isn’t going to suddenly build huge holdings in Fiat or Peugeot debt, but it’s logical to assume that it will look to add newly eligible industrial names. On average, the central bank owns about 20% of any holding’s total eligible debt. It doesn’t officially buy bonds to make a profit but it’s common sense to prefer an asset that offers some yield when compared to the negative rates of sovereign debt.Furthermore, as the chart above shows, the ECB likes carmakers. It probably owns up to 75 billion euros of debt in the three German autos giants, Volkswagen AG, Daimler AG and BMW AG. It would be strange indeed then if it didn’t acquire a decent chunk of the bonds in one of Europe’s biggest cross-border industrial combinations. That must put a supportive floor under the Fiat and Peugeot credit spreads.To contact the author of this story: Marcus Ashworth at firstname.lastname@example.orgTo contact the editor responsible for this story: James Boxell at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Marcus Ashworth is a Bloomberg Opinion columnist covering European markets. He spent three decades in the banking industry, most recently as chief markets strategist at Haitong Securities in London.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
How do explain Beyond Meat stock dropping 22% in one day following earnings? The answer: Volatility, a lot of short positions, and the IPO lockup ending.
On October 30th, the boards of Fiat Chrysler Automobiles (NYSE: FCA) and Peugeot's (OTC: PUGOY) parent PSA Group announced that they are in merger talks due to seeking scale in coping with costly new technologies needed to meet the electric future. Additionally, FCA showed it is somewhat resisting this downward trend on Thursday as despite a small loss, the Italian-American manufacturer at least managed to beat third-quarter earnings forecasts thanks to record profitability in its North American segment. Fiat Chrysler shares jumped nearly 9%, just a day before it released its third-quarter earnings, following its PSA announcement earlier in the morning.
A decade ago Carlos Tavares made approaches to US car group Chrysler about a merger with Japan’s Nissan, where he was a senior executive. Now chief executive of France’s PSA, the Portuguese businessman has presided over the remarkable revival of the near-bankrupt owner of Peugeot and Citroën, as well as the 2017 acquisition of Germany’s Opel to strengthen the group. , forged from the ashes of the bankrupt US company, in a collaboration that owes much to the car-loving Mr Tavares.
Carlos Tavares, a former Renault star credited with reviving the company's French rival Peugeot SA, has long shone as a restructurer-in-chief, staring down unions and slicing down bureaucracies. Combining Peugeot and Fiat Chrysler Automobiles NV would create the fourth-largest global auto manufacturer, a big advantage for amortizing investments in electric vehicles and getting the best prices from parts suppliers. The auto industry faces "ten years of chaos," Tavares told reporters at September's Frankfurt auto show.
I have some properly useful advice for you this week — and it’s advice you can action right away. First, don’t buy your daughter a pony. I was foolish enough to do so, only to watch her grow out of it ...
PARIS/MILAN, Oct 31 (Reuters) - European labour unions have called on Peugeot owner PSA and Fiat Chrysler to avoid job cuts and factory closures as the two major carmakers prepare to tie the knot, underscoring worries about the $50 billion deal as the regional economy falters. As PSA and Fiat Chrysler detailed plans on Thursday to create the world's No. 4 automaker, IG Metall, Germany's largest union by members, said it would seek to preserve the autonomy of the French carmaker's German unit Opel. The two groups have said no plants would be closed and an existing arrangement rules out forced layoffs at Opel, bought by PSA two years ago, until mid-2023.
(Bloomberg) -- Want the lowdown on European markets? In your inbox before the open, every day. Sign up here.When PSA Group and Fiat Chrysler Automobiles NV pursued Europe’s biggest merger of the year, they turned in large measure to small advisory firms.PSA worked with French boutique Messier Maris & Associés, while its board was advised by Perella Weinberg Partners and the Peugeot family by Zaoui & Co. Fiat used d’Angelin & Co. and Goldman Sachs Group Inc., the sole Wall Street bank in a leading role. The carmaker’s largest shareholder, Exor NV, chose Lazard Ltd. Morgan Stanley said it also advised PSA in an analyst note.Those firms are now poised to split as much as $90 million in advisory fees, according to estimates from Freeman & Co. The deal underlines the increasing trend of big companies leaning on smaller firms for advice when there’s no financing required from large corporate lenders.Three of the advisers would be considered mini-boutiques. Paris-based Messier Maris & Associés, set up in 2010 by ex-Lazard bankers Jean-Marie Messier and Erik Maris, has only five partners. Italian bank Mediobanca SpA bought a controlling stake in the firm this year.Zaoui, which has advised the Peugeot family on several transactions, was created by brothers Michael and Yoel Zaoui, both former bulge-bracket M&A bankers. Benoit d’Angelin, the ex-Lehman Brothers banker who founded the namesake firm in 2016 in London, is behind the almost 20-person shop that advised Fiat. Those are the smaller versions of larger, global boutiques like Perella Weinberg, which has been expanding in France, and Lazard, which has a long history in the country.By combining, Fiat Chrysler and PSA -- the maker of Peugeot and Citroen vehicles -- would create a regional powerhouse to challenge Volkswagen AG. The tie-up would bring together the billionaire Agnelli clan in Italy and the Peugeot family of France as consolidation sweeps through an industry trying to finance major transformation.\--With assistance from Michael Hytha.To contact the reporter on this story: Aaron Kirchfeld in London at firstname.lastname@example.orgTo contact the editors responsible for this story: Daniel Hauck at email@example.com, Aaron Kirchfeld, Frank ConnellyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The market is giving more tricks than treats on this rainy Halloween in New York City. Case in point: The news that PSA Peugeot Citroen and Fiat Chrysler Automotive are in merger talks. As I have mentioned in prior Real Money columns, I was a sell-side auto analyst for 11 years, first in New York, then in London.
Italy’s Fiat Chrysler (FCA) and Peugeot owner Groupe PSA, have reached a deal to merge and if sealed will drive a fresh wave of industry consolidation
A planned merger between Italy's Fiat Chrysler (FCA) and French Peugeot owner PSA is good news provided it does not affect jobs in Italy, the country's industry minister said on Thursday. "We will ask FCA for continuity on its industrial plan and on investments and production in Italy", Stefano Patuanelli said on state television. "The tie-up of two big groups like FCA and PSA can have scale economies on costs but the savings must not affect workers in the country", he added.
(Bloomberg) -- Want the lowdown on European markets? In your inbox before the open, every day. Sign up here.PSA Group and Fiat Chrysler Automobiles NV’s plan to combine into the world’s fourth-largest automaker will face a laundry list of challenges, with the bleak outlook for Europe near the top.The Peugeot car manufacturer and Fiat mapped out an accord Thursday for a 50-50 Netherlands-based holding company to be headed by PSA Chief Executive Officer Carlos Tavares. They said the deal would lead to 3.7 billion euros ($4.1 billion) in annual synergies without factory closures.Investors sent PSA shares tumbling as much as 14% after digesting the details, which show the French carmaker paying a premium of around 32%. Fiat shares rose as much as 11%.Read more: Plunging Peugeot Shows Who the Buyer Is in Merger of Equals (1)The combination would create a global powerhouse and leave Tavares, who has successfully turned around PSA and the loss-making Opel brand it acquired, to figure out how to integrate Fiat’s struggling operations in Europe. The Italian-American manufacturer published earnings Thursday that showed a widening loss in the region.“Fiat-Chrysler is in a very bad situation” in Europe, said Jean-Pierre Corniou, a partner at SIA consultancy in Paris. Only the American brands, RAM and Jeep are attractive, and the Fiat plant utilization rate is around 50% in some parts of Italy, he said.The contrast with PSA is striking. Sales of Fiat Chrysler branded cars including Fiat, Jeep, Lancia, Chrysler, Alfa Romeo and Maserati, fell 10% in Europe during the first nine months of 2019, based on data from the European Automobile Manufacturers Association. At the French carmaker, the second-largest in sales in the region, they were little changed, against an industry decline of 1.6%.The plan for their tie-up is unfolding at an exacting time for global car manufacturers who are having to grapple with a deepening industry slump and a wall of investment required for new technologies.The deal would bring together the billionaire Agnelli clan in Italy and the Peugeot family of France. Yet their deep national roots, along with the French government’s 12% stake in PSA, will make slimming down all the more difficult.France is one of the biggest shareholders of PSA, and while the government has signaled support for a deal, it has also warned it would scrutinize the jobs impact and governance structure of the new company.Italian Industry Minister Stefano Patuanelli also said the government would make sure the deal and expected cost cuts don’t affect jobs in Italy.Read More: Five Reasons Why France Is Backing a Fiat-Peugeot MergerThe combination makes economic and strategic sense, but “there are significant hurdles to overcome and execution risks,” Oddo BHF analysts wrote in a note. These include headcount and under-utilized plants in Europe as well as the challenge of gaining antitrust clearance for a company that would have a strong presence in France, Italy and Spain, they said.Looming large over operations in Europe are tougher rules on emissions that kick in next year. Carmakers’ fleets will have to comply with stricter caps, leaving Fiat vulnerable to future fines. The Italian-American company is a laggard on low-emissions technology whereas PSA plans to introduce seven electric vehicles by 2021 and offer either electric or hybrid versions of all models by 2025.Still, Fiat brings PSA a long-sought presence in North America, a market that’s traditionally been more profitable for the car industry. Tavares also has a track record of turning around European automotive operations.“Tavares’ playbook has been to take on loss making businesses and fix them, rapidly,” Bernstein analyst Max Warburton wrote in a note. “We believe he can achieve something similar at Fiat in Europe.”PSA and Fiat said they aim to reach a binding memorandum of understanding in the coming weeks. Goldman Sachs, D’Angelin & Co and Sullivan & Cromwell are advising Fiat Chrysler. Perella Weinberg and Mediobanca’s Messier Maris are advising PSA. The Peugeot family is advised by Zaoui & Co and Lazard is advising Exor.\--With assistance from Gabrielle Coppola.To contact the reporters on this story: Ania Nussbaum in Paris at firstname.lastname@example.org;Daniele Lepido in Milan at email@example.comTo contact the editors responsible for this story: Anthony Palazzo at firstname.lastname@example.org, ;Kenneth Wong at email@example.com, Tara Patel, Frank ConnellyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg Opinion) -- Fiat Chrysler Automobiles NV may have struck too fine a bargain with Peugeot SA. The Italian carmaker has extracted a chunky premium in exchange for agreeing a takeover that’s being dressed up as a merger. At first blush Peugeot’s shareholders aren’t convinced it’s worth it, and it’s not hard to see why they’re skeptical.While there’s no binding deal yet, the terms have been set to ensure Fiat investors take more out of the combination than they put in. The company’s market value was already smaller than Peugeot’s going into the tie-up. Even so, its shareholders — with the billionaire Agnelli family the largest — would withdraw about 5.8 billion euros ($6.5 billion), mainly from a special dividend, before the carmakers come together. That further diminishes Fiat’s financial contribution to the enlarged group.For their part, Peugeot investors will siphon off their company’s stake in car parts-maker Faurecia SE. That’s worth only 2.6 billion euros. Deduct the special dividend and Faurecia from Fiat’s and Peugeot’s respective market values on Tuesday, and the Italian company’s shareholders will contribute about 40% of the combined equity in return for a 50% stake in the new Peugeot-Fiat. Plus they’ll get a half share in the value of any cost savings.True, Fiat was valued closer to Peugeot when judged on average values over the past three months. On that basis, Fiat might deserve some top-up. Still, that alone doesn’t justify the premium.Why is Peugeot being so generous? One reason is that this is really a low-premium takeover by the French company. Peugeot is getting the balance of power in the boardroom, providing the chief executive officer in Carlos Tavares and nominating five out of 10 other roles.The other is that Peugeot’s board thinks it really needs this deal, and is willing to pay for it. Strategically, Fiat brings the U.S. market and the chance to accelerate the development of electric vehicles. Financially, the cost savings are put at 3.7 billion euros yearly. Taxed, capitalized at Fiat’s earnings multiple and adjusted for the more than four years that will be needed to achieve them, these savings could be worth about 6 billion euros even after one-off costs. That’s 3 billion euros to each side.For now the market is taking little on trust. Small wonder. The companies say there will be no plant closures, which puts a lot of pressure on other areas — suppliers in particular — to fund the savings. Peugeot’s and Fiat’s market values have jointly added less than 1 billion euros since talks leaked.Peugeot is presumably counting on the support of its three core investors — the French state, the founding Peugeot family and China’s Dongfeng Motor Group — to get a deal through a shareholder vote if one is finally agreed. But in the market, the jury’s out.To contact the author of this story: Chris Hughes at firstname.lastname@example.orgTo contact the editor responsible for this story: James Boxell at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Chris Hughes is a Bloomberg Opinion columnist covering deals. He previously worked for Reuters Breakingviews, as well as the Financial Times and the Independent newspaper.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
MILAN/PARIS, Oct 31 (Reuters) - Fiat Chrysler and Peugeot's owner PSA said on Thursday they would join forces through a 50-50 share swap to create the world's fourth-largest automaker. The boards of the two groups have mandated their respective teams to finalise discussions and reach a binding memorandum of understanding in the coming weeks, the two automakers said in a joint statement. FCA's Chairman John Elkann will chair the combined group, while Peugeot's Chief Executive Carlos Tavares will be the new CEO.
Fiat Chrysler and Peugeot's parent company, PSA group, have signed off on a $50 billion merger of equals, giving shareholders 50-50 control of the new company. Greg Migliore Autoblog Editor-in-Chief, joined Yahoo Finance's On The Move to discuss.
Fiat Chrysler and Peugeot’s parent company, PSA Group, have signed off on a $50 billion merger of equals, giving shareholders 50-50 control of the new company. Yahoo Finance’s Alexis Christoforous, Brian Sozzi, and Oscar Williams-Grut discuss.