Chrysler Files for IPO
Sept. 23, 2013—Chrysler Group LLC announced Monday that it has filed a registration statement with the U.S. Securities and Exchange Commission (SEC) relating to a proposed initial public offering (IPO) of common shares.
The number of shares to be offered and the price range for the offering have not yet been determined.
All common shares in the proposal come from the 41.5 percent stake of the company held by a UAW retiree medical benefits trust. If the IPO takes place, UAW will receive all of the net proceeds from the proposed offering.
This news comes as UAW continues to work toward a purchase agreement with Fiat S.p.A, which owns the majority 58.5 percent of Chrysler. Fiat and UAW have struggled to agree on a price for UAW’s company holdings, but a deal would prevent the IPO from taking place.
J.P. Morgan Securities LLC is slated to be the lead book-running manager of the offering.