Chrysler Won't Proceed with IPO in 2013

The majority owner of Chrysler Group, Fiat SpA, announced that the American automaker will not proceed with an initial public offering this year. Chrysler's Board of Directors noted that a share sale in 2013 is no longer feasible after speaking with underwriters. Fiat commented, "No assurance can be given as to whether or when an offering will be launched. Any launch will be subject to market conditions and other relevant considerations." Fiat and a United Auto Workers trust are currently disputing the company's value. Sergio Marchionne, CEO of both automakers, looks to buy the UAW's 41.5 percent stake in Chrysler. The UAW trust continues to debate on whether to proceed with an IPO or sell its holding directly to Fiat. Shares of Ford Motor F and General Motors GM were trading at approximately +0.40 percent in pre-market trading.