Flag with the Stellantis logo on the front entrance of the FCA factory in Mirafiori on January 18, 2021 in Turin, Italy.
Stefano Guidi | Getty Images
Stellantis – the merged carmaker of Fiat Chrysler and France-based Groupe PSA – will begin trading on Tuesday under the symbol “STLA” on the New York Stock Exchange.
The $ 52 billion merger was completed Saturday with the new company’s shares trading under the same ticker symbol on Monday on Euronext in Paris and the Borsa Italiana in Milan, Italy. US stock trading was delayed by a day as US markets closed Monday for Martin Luther King Jr.’s holiday.
Stellantis is the world’s fourth largest car manufacturer by volume. The company’s operations, including its 400,000 employees, will largely take place in North America and Europe.
Here’s what else you should know about the company:
Shares
Following the 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, Carlos Tavares, CEO of Stellantis, former CEO of Groupe PSA, said the merger would add 25 billion euros ($ 30.3 billion) in shareholder value in the coming years as a result of expected cost savings.
“All of our employees and our management teams are fully focused on the value creation embedded in the FCA-PSA merger and the creation of Stellantis,” he said.
Cost reduction
The merger is expected to generate approximately $ 5 billion or $ 6.1 billion in annual cost savings, officials say.
Stellantis
The company’s name is rooted in the Latin verb “stello,” meaning “to light up with stars,” the companies have said.
The Stellantis name will be used for the umbrella company, but not for its vehicles. The company’s 14 individual vehicle 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
Stellantis’ Board of Directors is composed of two executive directors, Tavares and former Fiat Chrysler Chairman John Elkann.
The non-executive directors of the companies are:
- Robert Peugeot, from the French automaker’s Peugeot family
- Henri de Castries, former CEO of insurance company Axa SA
- Andrea Agnelli, Elkann’s cousin and a member of the family that drives Fiat Chrysler
- Fiona Clare Cicconi, chief human resources officer at AstraZeneca PLC
- Nicolas Dufourcq, CEO of the French investment bank Bpifrance SA
- Ann Frances Godbehere, Director at Royal Dutch Shell PLC
- Wan Ling Martello, partner and co-founder of private equity firm BayPine
- Jacques de Saint-Exupéry, head of the works council at PSA
- Kevin Scott, chief technology officer at Microsoft Corp.
– CNBCs Elliot Smith contributed to this report.