In breaking news this morning, Chrysler parent company, the investment concern called Cerberus Capitol Management, has signed a non-binding term sheet with Fiat to establish what is being termed a, “global strategic alliance.”
The terms of the deal would seem to be fairly exciting for Chrysler, as well as for those Americans who’ve lusted over some of the Fiat portfolio in the past. Chrysler is set to receive a much needed technology share, gaining access to Fiats platforms for compact and city cars, as well as to very fuel-efficient powertrains. Fiat will also offer Chrysler access distribution in emerging markets that the company hasn’t yet enjoyed.
For its part, Fiat should get an initial 35 percent equity stake in Chrysler, as well as access to Chrysler’s own distribution network within North America. While it isn’t explicitly laid out in the press release, we can’t help but hope that such a deal would pave the way for the oft-discussed return of Fiat sub brand Alfa Romeo to our shores, and in turn, products like its sexy MiTo small hatch. To say nothing of Fiat's own 500 city car.
You’ll find the full Chrysler/Fiat announcement below. Read through it and then give us your take on the pending partnership, in our new forum thread .