Fiat <FIA.MI> said on Tuesday it had completed the acquisition of shares in Chrysler it did not previously own, making the U.S. unit a wholly-owned subsidiary of the Italian carmaker.
The company announced on January 1 that it had struck a $4.35-billion deal to gain full control of Chrysler, ending more than a year of tense talks that had obstructed Chief Executive Sergio Marchionne’s efforts to combine the two automakers’ resources.
Fiat bought the remaining 41.46 per cent stake in Chrysler from a retiree healthcare trust affiliated with the United Auto Workers union. The trust, known as a voluntary employee beneficiary association or VEBA, has received $3.65-billion in cash for the stake, $1.9-billion of which came from Chrysler and $1.75-billion from Fiat.
Chrysler has also committed to giving the UAW trust another $700-million in four equal annual instalments, the first of which was paid in connection with the deal closure, Fiat said.