Fiat Chrysler, Groupe Renault Expect To Restart Merger Talks

As per a report published in The Wall Street Journal, the merger talks between Fiat Chrysler and Groupe Renault could proceed further based on the results of the annual shareholders’ meeting of Nissan Motor Co. Also, a meeting between the French President and Japanese Prime Minister which is scheduled for later this week could impact the chances for the restart of the talks.

Nissan Motor Co. has received proposals for board positions. The proposal, from the Independent Director Committee, is to be submitted for approval at the board of directors meeting following the annual general meeting of shareholders to be held on June 25.

In May, Fiat Chrysler Automobiles N.V. (FCAU) proposed a 50/50 merger proposal to the Board of Groupe Renault (RNSDY.PK, RNSDF.PK, RNT.L) to create a global automaker. However, on 6 June, the Board of FCA decided to withdraw its merger proposal as the political conditions in France were not in favor of the merger. The combination was proposed to be carried out under a Dutch parent company.

The Impact of Brexit on the GBP and UK Industries

Brexit has had a dramatic impact on UK politics, with huge ramifications for when Britain eventually leaves the EU. The possibility of “No-Deal” currently stands as a major political talking point with sides for and against.

In light of these events, international money transfer comparison site MoneyTransfers.com has published an infographic showcasing the major events of Brexit and the impact they have had on the pound, with key events matched to the GBP price.

Alongside providing a timeline showcasing the effect on the GBP Brexit has had, the infographic further highlights the potential impact of “No-Deal” Brexit on several industries including:

  • Tourism
  • Ecommerce
  • Financial Industry
  • Real Estate
  • Importers & Exporters
  • Automotive Industry

Jonathan Merry – Co-Founder of MoneyTransfers.com had this to say about the topic: “No matter what side of the political debate you’re on, Brexit is going to affect you. The effects on the GBP have been affecting our business massively and customers are increasingly worried about their money transfers and whether they will be negatively affected. It felt fitting to create this graphic to provide them with some form of reference and timeline in a digestible format that clearly highlights risks and benefits alongside the general trend for the GBP – which has been in a downward trend”.

MoneyTransfers.com has stated they plan to cover more of Brexit to help guide customers, while at the same time advising UK customers not to panic over Brexit as they believe the effects can be mitigated.

UK Car Production Plunges Amid Brexit Uncertainty

UK car production plunged in April as Brexit shutdowns strike, the Society of Motor Manufacturers and Traders, or SMMT, said Thursday.

Car production logged a sharp contraction of 44.5 percent year-on-year in April. Only 70,971 cars rolled off production lines in April.

Production for home and overseas markets decreased 43.7 percent and 44.7 percent, respectively. Many manufacturers brought forward, and extended, production stoppages normally scheduled for the summer holiday period.

April’s dismal performance, the 11th straight month of decline, exacerbated the underlying downward trend, due largely to slowing demand in key international markets, including the EU, China and the US, as well as at home, the lobby said.

During January to April period, car production decreased 23.3 percent from the corresponding period last year.

“Prolonged instability has done untold damage, with the fear of ‘no deal’ holding back progress, causing investment to stall, jobs to be lost and undermining our global reputation,” Mike Hawes, SMMT chief executive, said.

SMMT repeated its call for urgent action to end Brexit deadlock and prevent ‘no deal’ devastation.

The lobby cautioned that a ‘no deal’ Brexit could exacerbate the decline, with the threat of border delays, production stoppages and additional costs compromising competitiveness.