Equities

Reuters reveals Fiat, PSA merger hits EU roadblock, may need concessions; market reacts

Reuters reveals Fiat, PSA merger hits EU roadblock, may need concessions; market reacts

Reuters exclusively reported that Fiat Chrysler’s planned $50 billion merger with Peugeot maker PSA has hit a bump after EU regulators voiced concerns about the companies’ market share in small vans, indicating concessions may be required. Fiat and PSA, which are seeking to create the world’s fourth biggest carmaker, were told of the European Commission’s concerns last week, Reuters sources said. Following the Reuters report, Fiat erased gains of more than 3% and Peugeot 4% when markets closed.