AUBURN HILLS (AP) — Automaker Stellantis NV, which was formed earlier this year by a merger involving Fiat Chrysler, said Wednesday it will pay $285 million for an auto-finance company to provide loans and leases to customers through its dealers.
Netherlands-based Stellantis said it will pay cash to acquire F1 Holdings Corp., the parent of Houston-based auto-finance firm First Investors Financial Services Group. The deal is expected to close by year end.
Stellantis CEO Carlos Tavares said owning a finance company in the U.S. will let the automaker provide customers and dealers options including loans, leases, and "floorplan" or inventory financing that is common in the car-dealership business.
Stellantis said it is the only major car maker operating in the U.S. without its own auto-finance company.
Stellantis was formed this year by a merger of Fiat Chrysler and PSA Peugeot. They figured that combining would help them compete with larger rivals Volkswagen, Toyota and Renault-Nissan as the auto industry goes through enormous technological changes including a shift toward electric and vehicles with more automation.
Besides Dodge, Chrysler and Fiat, its other brands include Jeep, Peugeot and Alfa Romeo.
- Posted September 03, 2021
- Tweet This | Share on Facebook
Auto maker Stellantis will fill gap by buying a finance arm
headlines Oakland County
- Annual Meeting
- Oakland County clerk/register brings services to Highland Township and surrounding areas with June 4 local office visit
- Whitmer announces Wayne, Oakland, Macomb commit to expand Project DIAMOnD, calls for statewide expansion of “infrastructure for innovation”
- Oakland County completes work for first RainSmart resident
- SUPREME COURT NOTEBOOK
headlines National
- This Los Angeles lawyer found her calling as a death doula
- ACLU and BigLaw firm use ‘Orange is the New Black’ in hashtag effort to promote NY jail reform
- Artificial intelligence tools for brief writing and analysis are a small firm litigator’s new best friend
- Baker McKenzie partner drops suit seeking IRS documents on partnership scrutiny
- Family members sue networks after learning of loved ones’ deaths by seeing bodies on TV
- Ex-BigLaw attorney once ‘consumed with remorse’ over $10M client theft sentenced in new scheme