Fiat Makes Move to take Majority Ownership of Chrysler

Fiat notified the U.S. Treasury of its intent on Friday to buy the government's stake in Chrysler, making it a majority shareholder of the automaker.

A deal with Treasury would translate to Fiat holding a 52% ownership stake in Chrysler. A deal is expected to be negotiated within 10 business days, and must receive “requisite regulatory approvals,” Fiat said.

Chrysler entered bankruptcy in 2009 and was rescued by the Fiat and the U.S. and Canadian governments. Fiat has steadily bought more ownership from its initial 20% stake after Chrysler exited bankruptcy.

If an agreement cannot be reached within 10 business days of the notice, the price will determined by investment bank evaluations, the notice said.

Fiat is an Italian company that designs, produces and sells cars under the Fiat, Lancia, Alfa Romeo, Fiat Professional, Abarth, Ferrari and Maserati brands.