.jpg)
A recent Automotive News report has revealed Ferrari might be considering an initial public offering as per comments made by Fiat S.p.A CEO, Sergio Marchionne.
Fiat bought up to 90 percent of Ferrari in 1988 but has since had to sell off percentages to help it get through tough financial times. Fiat, who now owns 85 percent of Ferrari, wants to get back to its historical roots by returning to its 90 percent ownership of the famous marque.
Fiat is currently looking for a way to increase cash flow but if it issues an IPO, up to 34 percent of its share of Ferrari could be lost – retaining a 51 percent share. Reports do say that Fiat could reap considerable gains from offering a large share of the company to the public though.
Marchionne, when asked if a possible IPO could be issued by 2014, said, “on such a long time frame, I cannot exclude anything.”
For now though the company is aiming to regain the 5 percent share it sold to Abu Dhabi’s Mubadala Development Co. back in 2002, returning to the 90 percent ownership it held in 1988. The remaining 10 percent will continue to be owned by Enzo Ferrari’s love child, Piero Lardi Ferrari.
