Italy’s Fiat Chrysler and its French rival PSA won approval from the European Union’s antitrust watchdog on Monday for their merger in an estimated $38 billion deal to form the world’s fourth-largest car manufacturer.
The two companies are looking forward to a deal that will help them overcome the challenges they face in financing the clean and environmentally friendly car industry and facing the crisis caused by the global pandemic.
The European Commission said PSA will expand the scope of its pickup truck agreement with Toyota by increasing the company’s truck supply capacity and lowering freight charges on vehicles, parts and accessories to address concerns about competition in the European Union.
Both Fiat and PSA will allow competitors to use their truck repair and maintenance networks to help new start-ups expand into the market, the merger, called Stellantis, will own brands including Fiat, Jeep, Dodge, Ram and Maserati, as well as Peugout, Opel and DS. The shareholders and shareholders of the two companies will meet on the fourth of January to approve the deal, and it is expected that the merger deal will be closed at the end of the first quarter of 2021.