Flag with the Stellantis logo at the front entrance of the FCA Mirafiori factory on January 18, 2021 in Torino, Italy.
Stefano Guidi | Getty Images
Stellantis – the merged automaker of Fiat Chrysler and Groupe PSA, based in France – will begin trading on Tuesday under the symbol “STLA” on the New York Stock Exchange.
The $ 52 billion merger ended on Saturday, with the new company’s shares being traded on Monday under the same symbol on Euronext in Paris and Borsa Italiana in Milan, Italy. US-based stock trading was delayed one day because US markets were closed on Monday for the holiday of Martin Luther King Jr.
Stellantis is the fourth largest automaker in the world by volume. The company’s operations, including its 400,000 employees, will be largely in North America and Europe.
Here’s what else you should know about the company:
Actions
Upon completion of the merger, Groupe PSA shareholders received approximately 1.7 Stellantis shares for each PSA share, while Fiat Chrysler shareholders received 1 Stellantis share for each of their shares.
In a virtual launch on Borsa Italiana’s website, Stellantis CEO Carlos Tavares, former CEO of Groupe PSA, said the merger would add 25 billion euros ($ 30.3 billion) in value to shareholders in the coming years due to projected cost cuts.
“All of our employees and management teams are fully focused on creating value that is embedded in the merger of FCA-PSA and the creation of Stellantis,” he said.
Costs cut
The merger is expected to generate about 5 billion euros, or $ 6.1 billion, in annual cost savings, according to officials.
Stellantis
The name of the company has its roots in the Latin verb “stello”, which means “illuminate with stars”, the companies said.
The name Stellantis will be used for the umbrella corporation, but not for its vehicles. The company’s 14 individual car brands, such as Alfa Romeo, Chrysler, Fiat, Jeep and Peugeot – all of which have historical significance in their respective countries – will remain unchanged.
Board of Directors
The Board of Directors of Stellantis is composed of two executive officers, Tavares and the former president of Fiat Chrysler John Elkann.
The non-executive directors of the companies are:
- Robert Peugeot, of the Peugeot family of the French automaker
- Henri de Castries, former CEO of insurance company Axa SA
- Andrea Agnelli, Elkann’s cousin and member of the family that controls the Fiat Chrysler
- Fiona Clare Cicconi, human resources director at AstraZeneca PLC
- Nicolas Dufourcq, CEO of French investment bank Bpifrance SA
- Ann Frances Godbehere, director of Royal Dutch Shell PLC
- Wan Ling Martello, partner and co-founder of private equity firm BayPine
- Jacques de Saint-Exupéry, head of the PSA workers’ council
- Kevin Scott, chief technology officer at Microsoft Corp.
– CNBC’s Elliot Smith contributed to this report.