Fiat will pay around $1.27 billion to increase its stake to 46% in U.S. auto maker, Chrysler, The Wall Street Journal reports. The Italian car maker aims to buy the additional 16% after completing a refinancing deal in the second quarter needed for Chrysler to repay U.S. and Canadian government loans.
The CEO of Turin-based Fiat, Sergio Marchionne, who runs both the automakers, plans to boost Fiat’s stake to 51% by the end of this year. Fiat plans to use its cash to buy the additional stake.
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