PSA Peugeot Citroen Is Not Merging With Fiat Nor Saab

Posted on 05. Jan, 2009 by Ryan in 2000-2009

According to Sweden’s Expression Magazine,World car Fans, and Automotive News Europe, Fiat is planning on merging with PSA Peugeot & Citroen to be the 4th largest automotive company in the world alongside Renault-Nissan, behind Toyota, GM & Ford.

So why does this matter for Saab Automobile? Well, historically, FIAT was originally going to be Saab’s owner in December of 1989 before GM came in and took control of the discussions to become the new owner.

Fast forward to the future, Saab Automobile is looking for a new buyer and GM is giving them just under three months to complete this process. We were hoping that since FIAT has been looking for an automotive company partner, many were hopeful that that would be Saab Automobile. That partner is not Saab, but PSA Peugeot & Citroen

What does this mean that Saab Automobile? Do we check FIAT and PSA off the list, leaving just BMW as the remaining possibility, since TATA Motors has provided an official announcement stating they are not interested in acquiring Saab? Before we jump to these conclusions, I have sent a note to my contacts at FIAT & PSA to confirm this story and to ask again about their prospects with Saab Automobile as well, so we’ll see what they have to say, then we’ll go from there.

Update: Here are the official responses from both sides of PSA (Peugeot & Citroen) as well as Fiat shown with their permission, indicating that there is no merger with Fiat Nor with Saab taking place at all from both sides of the company:

Dear Mr Emge,

Following your email, I confirm you that PSA Peugeot Citroën has no current plan concerning any merger. The Group is focused on day-to-day business, facing in particular such important challenges as reducing inventories and keeping a solid financial situation.

Yours sincerely,

Laurent CICOLELLA
PSA Peugeot Citroën
Corporate Communications

—
Dear Sir,
Even if we have a long time comitment with Fiat Group on LCVs, we have no intention of merging with Fiat… or with Saab !
We are focusing on developping our two brands (Peugeot and Citroën) and adapting ourselves to leave the crisis stronger than we enter it.

Regards

Jean-Marc SARRET
PSA Peugeot Citroën
Direction de la communication

–

Dear Ryan,
It’s our Company’s policy not to comment rumors and speculations.
Once again, thank you for your interest in Fiat Group’s activities.
Best regards.

Gualberto Ranieri
VP, Comm’s, Int’l, FIAT GROUP
250 v. Nizza – 10126 Torino, Italy

In the meantime, here is the story from Sweden’s Expression, loosely translated:

Earlier, it has speculated that Fiat, Opel and Saab will make common cause on General Motors forced to sell both its European brands.

But this weekend revealed a business newspaper based in Milan that the Fiat looking future partners elsewhere.
Need strong partner

Fiat boss Sergio Marchionne said already last week that he believes in a major restructuring of the automobile and that in the future will be only a total of six manufacturers. Marchionne sa också att Fiat behöver en stark partner för att överleva lågkonjunkturen Marchionne also said that Fiat needs a strong partner to survive the recession

Large Group

According to Milano Finanza, Italy’s president Silvio Berlusconi had discussions with French President Nicolas Sarkozy. Together, Fiat / Peugeot / Citroen to become the world’s fourth-largest producer after Toyota, General Motors and Ford but ahead of Volkswagen and Renault / Nissan. On Wednesday hits Fiat’s largest shareholders, John Elkan in the company IFI, Berlusconi and under the financial magazine, a future major automotive be high on the day the order. Can Fiat together with Peugeot / Citroen leave Saab and Opel, but a major European partner.

Source: Expression

Tags: Fiat Nor, Ford, General Motors, IFI, Nissan, PSA Peugeot-Citroen, Renault, Tata Motors, Toyota, Volkswagen