Peugeot maker PSA whittles down Faurecia stake as part of Fiat deal

Reuters

October 29, 2020 at 2:45 a.m.·1 min read

FILE PHOTO: An illustration shows a car dashboard with a giant screen on the side of the Faurecia booth during the 2019 CES in Las Vegas

FILE PHOTO: The logos of car manufacturers Fiat and Peugeot are seen in front of dealerships of the companies in Saint-Nazaire

PARIS (Reuters) - Peugeot maker PSA Group <PEUP.PA> on Thursday said it had raised 308 million euros (279 million pounds) from selling about 7% of car parts firm Faurecia <EPED.PA> to investors, with proceeds due to be paid out to shareholders after it merges with Fiat Chrysler.

The French carmaker had said earlier this week that it would sell down a chunk of Faurecia as part of the merger deal with Fiat <FCHA.MI>.

Proceeds will be distributed to shareholders in Stellantis - their merged company, due to be created in the first quarter of 2021 - in cash, alongside a distribution-in-kind of PSA's 39% remaining stake in Faurecia.

(Reporting by Sarah White; Editing by Himani Sarkar)