Fiat News: Fiat Buys Remaining Shares Of VM Motori

[William Maley]

William Maley

Staff Writer - CheersandGears.com

October 29, 2013

Fiat has become the sole owner of VM Motori after paying General Motors 34.1 million Euros ($47.1 million) to buy out its stake in the company. A Chrysler spokesman tells Automotive News that the transaction was completed yesterday. VM Motori currently supplies diesel engines for the Jeep Grand Cherokee and Ram 1500.

VM Motori manufactures approximately 90,000 engines per year for automotive, marine, industrial and other uses. The company employs around 1,150 people.

Chrysler executives have said they'll be watching how consumers react to the new diesels and make decision on whether to expand diesels to other models.

Source: Automotive News (Subscription Required)

William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster.

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[Drew Dowdell]

Well there goes GM's access to the VM light duty diesel I suppose....

Still, $47million seems really cheap for an engine manufacturer.

[jwbouch]

Is the current duramax a gm in-house motor, or was it a VM Motori motor?

[Drew Dowdell]

GM + a little help from Isuzu

[G. David Felt]

I thought a lot of help from Isuzu. From what I heard, GM went to them and said make us a diesel that is strongest in class at the time, Quiet as a gas engine and reliable with minimal soot exhaust.

I also thought that the 4 banger little duramax engines were also based on input and help from Isuzu.

I would think GM could do better with Isuzu than with Motori.

I agree with Drew that the purchase price seems very cheap and wonder how much was lost in this sale?