Tavares: ‘PSA open to new alliances after Opel deal’
Carlos Tavares, CEO of car manufacturer PSA, says in an interview in the French newspaper Les Echos he is “open to all proposals” for new partnerships with other car manufacturing groups, including Fiat Chrysler (FCA).
Anything is possible
When asked about the possibility of a new ‘external growth’ project that could be financed with the French group’s more than 8 billion euro in liquid assets, Tavares replied: “Anything is possible, but it is neither the backbone of our business project nor an end in itself. If our strategic plan produces good results, it leaves some space to seize opportunities like Opel”, he said.
Asked more specifically about a possible alliance with the Italian-American group Fiat Chrysler (FCA), Tavares did not close the door. “I have no fixation on Fiat Chrysler or any other group, but Fiat Chrysler shareholders have repeatedly stated that PSA is not the right potential partner for them”, he replied. “We are open to all proposals, but it takes two to make a deal”, he added.
Future partner for investments
The market has regularly speculated on a merger of FCA with another manufacturer, which former CEO, Sergio Marchionne, had once called for. Fiat Chrysler may need a partner to share costs and technology investments in a car market in full revolution with the arrival of electric, autonomous and connected vehicles.
Fiat Chrysler is expected to release record quarterly results, the latest of the era of Sergio Marchionne, who died at the age of 66 on Wednesday, and who was replaced last weekend by Mike Mainley. On Tueasday PSA announced record profits, up to 18% to 1.48 billion euro in the first half.
PSA was also pleased to announce that Opel (loss-making since 1999) has become profitable less than a year after the acquisition.