Fiat says completes deal to buy out U.S. unit Chrysler
MILAN Jan 21 (Reuters) - Fiat said on Tuesday it had completed the acquisition of shares in Chrysler it did not previously own, making the U.S. unit a wholly-owned subsidiary of the Italian carmaker.
The company announced on Jan. 1 that it had struck a $4.35 billion deal to gain full control of Chrysler, ending more than a year of tense talks that had obstructed Chief Executive Sergio Marchionne's efforts to combine the two automakers' resources.
Fiat bought the remaining 41.46 percent stake in Chrysler from a retiree healthcare trust affiliated with the United Auto Workers union. The trust, known as a voluntary employee beneficiary association or VEBA, has received $3.65 billion in cash for the stake, $1.9 billion of which came from Chrysler and $1.75 billion from Fiat.
Chrysler has also committed to giving the UAW trust another $700 million in four equal annual installments, the first of which was paid in connection with the deal closure, Fiat said.
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