Fiat says will not waive or raise payout cap in Chrysler merger
MILAN Aug 12 (Reuters) - Fiat will not call a shareholders meeting to waive or raise the 500 million euro ($668 million) limit it has set for paying out dissenting shareholders in its merger with Chrysler, the carmaker said on Tuesday.
Chief Executive Sergio Marchionne wants to incorporate the two carmakers into Dutch-registered Fiat Chrysler Automobiles (FCA), paving the way for a U.S. listing key to help fund an ambitious investment plan at the world's No.7 auto group.
But the merger could be delayed if Fiat was asked to pay more than 500 million euros to investors who decide to sell their shares, exercising a legal right triggered by the carmaker's decision to move its registered offices away from Italy.
"If the cap were to be exceeded, and the Company chooses to call a new extraordinary shareholders meeting, that meeting could simply adopt a new merger plan which would result in the determination of a new cash exit price," it added in a statement. (1 US dollar = 0.7490 euro) (Reporting by Agnieszka Flak)