PSA chief executive Carlos Tavares says he is confident the group’s $50 billion merger with Fiat Chrysler (FCA) will go ahead as planned, despite the Coronavirus crisis and recent investigations by the EU.
Speaking at the group’s annual shareholder meeting, Tavares said the move had become even more important due to the pandemic, as the companies sought to accelerate potential savings.
“The merger with FCA is the best among the solutions to cope with the crisis and its uncertainties,” he told shareholders.
PSA said the move was expected to produce synergies of at least €3.7 billion.
Tavares added that the merger would be completed no later than the first quarter of 2021, despite EU’s antitrust regulators announcing a four-month investigation into the deal in June.
EU investigators are concerned the deal could harm competition for small van sales in 14 EU countries and the UK. However, it has already been approved in China, Japan, Russia and the US.
