2013-10-01 11:44:33

Fiat Will Take Full Control of VM Motori

Fiat is going to buy the remaining half of VM Motori, an Italian motor constructor whose ownership is now split in half between GM and Fiat.

That would give the Italian company full control of VM Motori, which creates diesel motors being equipped in different Jeep and Ram vehicles. VM Motori was originally a 50-50 joint venture between Fiat and GM to develop diesel powerplants for the auto-companies.

The purchase is contingent on regulatory approvals but will happen before the year’s end if it’s confirmed. And despite the purchase, GM will still have an access to VM Motori’s 3.0-liter diesel which the American company is considering using in the fresh 2014 Chevrolet Silverado pickups, depending on the success of half-ton diesels.

“GM’s report to exercise its put option to sell to Fiat its 50 % interest in VM Motori is in line with the contracts Fiat entered into when it acquired a 50 % stake in VM in 2010,” Fiat informed in an announcement.