Family business roundup: Fiat edges closer to closing Chrysler deal; Coty launches IPO

Exor's Fiat is close to reaching a refinancing deal, while Joh A Beckiser's cosmetics company Coty launched an IPO.  

Fiat
Fiat, the Italian carmaker controlled by the Agnelli family's Exor, is getting close to completing a refinancing deal that would allow it to take full control of US-based Chrysler.

Chief executive Sergio Marchionne is due to sign an agreement with nine banks as soon as 21 June to refinance €1.95 billion in Fiat credit, according to two anonymous sources close to the matter.

He is also trying to reduce the interest rate on a $2.95 billion (€2.2 billion) loan at Chrysler, according to another source.

Fiat currently has a 58.5% stake in the US brand, while the remaining stake is held by the United Auto Workers' retiree healthcare trust; the two are currently disputing the value of the stake.

Fiat could be forced to pay $4.5 billion, according to UBS bank – $1 billion more than estimates made as recently as April.

Coty
Coty, the cosmetics and fragrance company controlled by the Reimann family via holding company Joh A Benckiser, made its initial public offering on the New York Stock Exchange on 13 June.

The IPO raised almost $1 billion from the sale of 57,142,857 class A shares at $17.50 per share – representing 19% of the company.

The Reimann family has sought to retain control of the company by allowing themselves 10 votes per share, compared to one for new shareholders.