Business News of 2014-01-20

Tanink Ghana excited about acquisition of Chrysler by Fiat

Tanink Ghana Limited, local distributors of Fiat vehicles has expressed joy at reports that the Italian automobile giant, Fiat, is in the process of acquiring American car model, Chrysler.
Tanink, which recently acquired the dealership and service franchise for the iconic American car brands, Chrysler, Jeep and Dodge, says the acquisition of the remaining 41% stake in Chrysler by Fiat forebode positive outlook for the local distributor.
Fiat already owns majority stake in the US car company dating back to 2009 but announced recently, according to a BBC report, plans to acquire the remaining 41% stake, currently owned by Veba, the healthcare trust affiliated to the United Auto Workers Union.
Following Thursday’s announcement, the Italian car giant’s shares soared by about 15%.
The BBC report said the move will create the world's seventh-largest car company, something Tanink Ghana Limited says will further enhance its reputation as one of the biggest suppliers of vehicles to government departments and agencies, large corporations, other public and private institutions as well as individuals.
The Team Leader for Chrysler brands at Tanink Ghana Ltd., Mr. Cyril Kumedzro, says the plans by Fiat's chief executive, Sergio Marchionne, to widen the company's global reach, put Tanink in poll position to expand its reach on the local market.
With the franchise to deal in Chrysler, Jeep and Dodge, and with Fiat fully owning Chrysler now (after the deal is sealed) the firm is bound to continue to profit from the efficiency for which Fiat is known, he noted.
According to him, the customers of Tanink Ghana Limited, which also distributes Alfa Romeo and IVECO vehicles, will be the biggest beneficiaries.
He said the reputation of Fiat as having exceptional expertise in developing small, fuel efficient vehicles will certainly benefit the Ghanaian market.
He is convinced the luxury American car, Chrysler, will be adopted to give consumers jaw-dropping deal while keeping the awe of the car.