20/01/2021

20 January 2021
20 January 2021, Comments Comments Off on PSA and FCA merger completed and Stellantis officially created
PSA and FCA merger completed and Stellantis officially created

Following the completion of the merger of Peugeot S.A. (“Groupe PSA”) and Fiat Chrysler Automobiles N.V. (“FCA”) on January 16, 2021, the new combined company, Stellantis, has officially been launched.

With a proud heritage stretching back 125 years, Stellantis has a full portfolio of brands that have graced the road and conquered the podium in the world of motorsport. These brands cover the full spectrum of market segments from luxury, premium and mainstream passenger vehicles to hard-charging pickup trucks, SUVs and light commercial vehicles, as well as dedicated mobility, finance and parts and service brands.

Stellantis already has a well-established presence in three regions – Europe, North America and Latin America – in addition to significant untapped potential in important markets such as China, Africa, the Middle East, Oceania and India.

With industrial operations in more than 30 countries, the Company has the ability to efficiently meet and exceed consumer expectations and deliver vehicles and services of unparalleled quality in more than 130 markets.

Stellantis therefore starts from a position of considerable strength with robust operating margins reflecting the Company’s leading positions in North America, Europe and Latin America.

The Company expects to leverage its size and economies of scale as an enabler to invest in innovative mobility solutions for its customers, targeting annual synergies of more than €5 billion at a steady state. These synergy estimates will be achieved through the implementation of smart purchasing and investment strategies, optimizing powertrain and platform utilization, applying cutting-edge R&D and a continuous focus on manufacturing and tooling efficiencies.

These synergy estimates are not based on any plant closures resulting from the transaction.

Stellantis says it has ‘the agility, creativity and efficiency to capture the opportunities of the new era of mobility, offering innovative solutions that will help change the way society moves’. It is well positioned to compete in global markets with 39 electrified vehicles available by the end of 2021.

Stellantis is now one of the world’s leading automakers and a mobility provider, guided by a clear vision: to offer freedom of movement with distinctive, affordable and reliable mobility solutions. 

Marking the occasion John Elkann, the Chairman of Stellantis said: “It is no coincidence that Stellantis is born precisely when our world requires a new kind of automotive company that will champion clean and intelligent solutions to provide freedom of movement for all. Our global scale and reach provide us with the resources to invest in state-of-the-art technologies, distinctive excellence and unmatched choice for our customers. But it is the geographic and cultural diversity of Stellantis’ people that from Day One is our greatest competitive advantage. It is they, with their energy, their knowhow and their constant commitment who make Stellantis what it is today. And it is they who day-by-day will build an even greater company for this new era of mobility.” 

Commenting on the first day of Stellantis’ journey, Carlos Tavares, Chief Executive Officer, Stellantis, said: “This is a great day. One year after we announced this project, Stellantis is born, notwithstanding the unprecedented societal and economic disruption caused by the COVID-19 pandemic. I want to warmly thank all of the teams who made this possible and also thank the entire workforce who continued to move our operations forward during this exceptional year. This demonstrates the agility, creativity and adaptability of our company which aims to be great rather than big, determined to be much more than the sum of its parts. It is also a further signal of the new company’s determination to be a leading player in the automotive industry in this ever changing environment. Stellantis is dedicated to “pursuing greatness” and enhancing the well-being of its employees.”

The new company began trading on January 18, on Euronext (Paris) and the Borsa Italiana (Milan) and today on the New York Stock Exchange.

Full year 2020 results will be reported on March 3, 2021.

The Board of Directors of Stellantis have also been appointed, and Stellantis’s Articles of Association have become effective.

As previously announced, the Board of Directors of Stellantis is composed of two executive directors, John Elkann (Chairman) and Carlos Tavares (Chief Executive Officer), and the following nine non-executive directors, Robert Peugeot (Vice Chairman), Henri de Castries (Senior Independent Director, acting as the voorzitter under Dutch law), Andrea Agnelli, Fiona Clare Cicconi, Nicolas Dufourcq, Ann Frances Godbehere, Wan Ling Martello, Jacques de Saint-Exupéry, and Kevin Scott.

In addition, the Board of Directors of Stellantis has appointed an Audit Committee, a Remuneration Committee and a Governance and Sustainability Committee with the following compositions:

Audit Committee: Ann Godbehere (chairperson), Wan Ling Martello and Henri De Castries. Remuneration Committee: Wan Ling Martello (chairperson), Andrea Agnelli, Henri De Castries, Fiona Cicconi and Robert Peugeot. Governance and Sustainability Committee: Henri De Castries (chairperson), Andrea Agnelli, Fiona Cicconi, Nicolas Dufourcq and Kevin Scott.