Mller: 'Size Does Not Matter,' VW Not Counting Out FCA Friendship
Matthias Müller, CEO of Volkswagen Group, said in a press conference he hasn’t excluded the possibility of a merger with Fiat Chrysler Automotive.
Müller said, “There has been no contact at this point between (CEO of FCA) Mr. Marchionne and me, but I have never said I would exclude it.”
“In my opinion, size does not matter. I have always said volume is not our sole goal. We want to be a successful manufacturer in every way.”
Müller said this in response to Marchionne’s merger claim at the Geneva Motor Show. The FCA big wig said VW would take the hardest toll from GM’s sale of Opel to PSA Group, and would then want a new partner.
“It would be very helpful if Mr. Marchionne were to communicate his considerations to me too, and not just to you,” the likely frustrated Müller told reporters at the conference.
Marchionne “has no doubt” VW will at least be interested in talking to FCA for a potential partnership, but Müller is not as convinced as the FCA boss seems to believe.
“I am pretty confident about the future of Volkswagen, with or without Marchionne,” Müller said, likely hurting Marchionne’s feelings.
This is not Marchionne’s first merger proposal. He was promptly shut down after he called on Mary Barra to hug it out with various, erm, intensities.
[Source: Autocar, Automotive News Europe]
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I wonder if this would be another "merger of equals" if it were to go down? I'm not sure German management is compatible with any other on the planet.
@RobertRyan--It is a shame but I don't see very much hope for FCA. Sergio has tried to merge FCA with GM and other corporations but FCA doesn't have much left that would add to a merger. GM themselves has been shedding unprofitable divisions. Ram would have value to an automotive company that doesn't have an existing truck and then it would have to be at fire sale prices to motivate a purchase. Jeep is the most valuable part of FCA but again that would be a fire sale. The only way I see Jeep and/or Ram surviving is a fire sale of FCA with Dodge and Chrysler being killed off with Fiat and Alfa Romeo being sold off to a German or French automotive company and even they might not have any takers thus they would be shut down. GM still has a chance to survive and they too could be merged with another company. It would not surprise me in the future if Ford is the only remaining US based corporation.