This last Wednesday, Fiat Chrysler duly claimed that their new model will offshoot the Luxury car brand Ferrari and will float 10 percent stake on the market aiming to catch the investment over its luxurious growth plan worth 48-Billion Euros (around $61 billion).
The seventh largest carmaker in the planet stated, they have given the directions to their management for ending the spin-off next year; whereas, the last 90 percent of the stake would probably be distributed among the FCA members including the Agnelli family - founders of Fiat.
FCA, who voluntarily enlisted its own primary listing to New York on Oct. 13, anticipates that Ferrari shares would be indexed in United States and most probably at the European exchange.
According to Sergio Marchionne, CE of FCA, “in order to protect the future business plan of 2014-2018 and make every possible effort to augment the image of business in front of shareholders, it is necessary to keep the paths of both companies FCA and Ferrari separate from each other.”
The shares of FCA listed in Milan dropped revealing from the third quarter financial statement reported by the company and financial obligations were also at a higher level than expectation, showing 5 percent increment before trading was discontinued as a result of undue wavering. Things look both promising and challenging for the stakeholders but the future will tell its own novel later on!