Grab your coffee and get over hump day with a helping of idle spinoff speculation in this edition of Odds and Ends. Who knows? Maybe these spins could be coming to your portfolios one day soon! Morgan Stanley’s Adam Jonas thinks GM (GM) should spin off its Cadillac business. He thinks it could be worth $15b as a… Read More »
In case you haven’t noticed, the automotive space is undergoing a few changes. New players are muscling in and the entire supply chain – from the OEMs all the way down to the Tier 3s – are under siege. As a result, everyone is scrambling to secure their part in the automobile of the future which many expect… Read More »
In late 2015, Sergio Marchionne led the successful IPO and spinoff of Fiat Chrysler’s(FCAU) Ferrari(RACE) division. Now various speculations suggest that he may spin off Maserati, Jeep, or the Parts division. Marchionne, who is set to retire in 2019, has tried to lure a buyer, publicly courting General Motors(GM), even, but has not found a partner. Alternatively, some believe… Read More »
Less than two months after its successful IPO of 10% of Ferrari(RACE), Fiat Chrysler(FCAU) took a major step forward towards the spinoff of its remaining 80% stake yesterday. At the company’s Extraordinary General Meeting of shareholders, the transaction was approved. It is expected that the company will complete the spinoff in January 2016. The EGM approved a demerger… Read More »
It may be the world’s premier luxury brand. Ferrari(RACE) manufactured just 7,255 cars last year, part of its strategy to keep supply below the level of demand. The recent IPO of 10% of Ferrari’s shares by Fiat Chrysler(FCAU) followed the same model, making available only a small number of shares. Barron’s notes that the company’s valuation is unjustified.… Read More »
Amidst a brutal environment for IPOs, Fiat Chrysler’s(FCAU) IPO of 10% of Ferrari(RACE) seems to have bucked the trend. The IPO priced at $52, at the top of the $48 to $52 range, in the face of strong demand. At this price, Ferrari will have a market capitalization of nearly $10 billion. With a small float of just… Read More »
Posters featuring its iconic speedsters grace the walls of teenagers’ bedrooms around the world. Now, fans will have a chance to own a piece of the company. Management is busy on the road this week promoting an IPO of Ferrari. The company, 90% of which is owned by Fiat Chrysler(FCAU), will, naturally, trade under the ticker RACE. The IPO… Read More »