PARIS (Reuters) - The initial public offering of U.S. automaker Chrysler CCMLPC.UL is expected in the second half of 2011 and it will be in more than one tranche, Chief Executive Sergio Marchionne said on Friday.
“There will be more tranches. The process has one objective which is to create financial stability for Chrysler,” Marchionne, who is also CEO of Italy’s Fiat FIA.MI, told reporters on the sidelines of the Paris Auto Show.
Fiat owns 20 percent of Chrysler and has options to raise its stake to 35 percent and then 51 percent.
Marchionne also said that Fiat group results in the first quarter of 2011 would likely be weaker than expected and certainly worse than next year as a whole in Italy and Europe.
“Worse than 2010 it cannot go. But probably the first quarter of 2011 will be weaker than expected, at least it will be weaker than 2011 as a whole,” Marchionne said.
In the United States the group has to sell more than 2 million cars next year, he said.
At 0817 GMT (4:17 a.m. EDT) the stock was up 0.35 percent at 11.36 euros, in line with the STOXX Europe 600 Autos index .SXAP.
Reporting by Danilo Masoni; Editing by Michael Shields