Groupe PSA and FCA complete merger: Stellantis to offer 39 electric cars by end-2021

The 11-board member team of STLA includes the likes of chairman John Elkann, and CEO Carlos Tavares. Combined, Stellantis will have 14 brands under it, including RAM, and Lancia.

By:January 20, 2021 10:41 AM

Stellantis must be one company that you will be hearing on and off in the last few months. This company is the merger name of Groupe PSA as well as FCA. Now, it has come to the fore that the merger is complete and both companies have jointly issued a statement. STLA, the short-form of the company name, will be focussed more on the lines of sustainable mobility. The 11-board member team of STLA includes the likes of chairman John Elkann, and CEO Carlos Tavares. Combined, Stellantis will have 14 brands under it, including RAM, and Lancia. While STLA headquarters will be in Amsterdam, it will have branches in the US, France and Italy. Through the merger, both the companies plan to save around $6 billion and 80 per cent of this might be realised as early as by 2025.

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Out of the aforementioned 14 brands, many are ailing. A decision might be taken to axe a few on the way. In a press conference held to announce the merger, Carlos Tavares said that this might be a chance to create sibling cars as well as give various brands the opportunity to grow. Stellantis has a presence right now in areas like Latin America, Europe and North America. With the merger finalised, the group will want to expand to Middle East, India, Oceania, China and Africa. Both FCA as well as Citroen are present in the Indian market. While the latter is yet to bring out its first car here, FCA sells the Jeep brand.

It is unclear in what direction Stellantis will take after in India. It is being said that both the companies are still deciding whether to operate as separate entities or be part of the merger. FCA still is a fringe player with hardly 2,000 units being sold in the country. A merger might be the right path for it as well to grow. They might also save big on R&D costs jointly. Having cross-badged products may also work in their favor though both the companies are already said to have been working on all-new India-specific vehicles.

 

 

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