Fiat Chrysler has made a “transformative merger” proposal to French peer Renault, the Italian carmaker said on Monday, in a deal which would create a world leader and help address some of the weaknesses in both Renault and Fiat.
Fiat said the combined business would be 50 percent owned by FCA shareholders and 50 percent owned by those of Renault.
Pressure for consolidation among carmakers has grown with the challenges posed by electrification, tightening emissions regulations and expensive new technologies being developed for connected and autonomous vehicles.