Auburn Hills-based Fiat Chrysler Automobiles has announced a new corporate name as it moves to complete its 50-50 merger with France’s Peugeot, or Groupe PSA. The original agreement was announced on Dec. 18.
The new name — Stellantis — is rooted in the Latin verb “stello,” meaning to brighten with stars. The company says it draws inspiration from the alignment of the automotive brands and plans to move the company into the next era of mobility while preserving value.
The Latin root pays tribute to the history of its founding companies while the hint to astronomy is meant to capture a spirit of optimism, energy, and renewal as the automotive industry evolves.
The Chrysler brand created a new Pentastar logo that was introduced for the 1963 model year. Today, the logo can be seen atop FCA’s North American headquarters in Auburn Hills — two glass-and-metal stars mark each end of an atrium.
The process of identifying a new name began soon after the combination agreement was announced. The senior management of both companies have been involved throughout.
Stellantis will be used at the group level as a corporate brand while car brands will retain their names and logos. The next step is to unveil a new logo for Stellantis.
The completion of the merger is expected to occur in the first quarter of 2021 and create the world’s fourth-largest automotive OEM by volume and third largest by revenue, according to FCA’s initial announcement in December.
“This is a union of two companies with incredible brands and a skilled and dedicated workforce,” Mike Manley, CEO of FCA, said when the companies signed the agreement to merge in December. “Both have faced the toughest of times and have emerged as agile, smart, formidable competitors. Our people share a common trait – they see challenges as opportunities to be embraced and the path to making us better at what we do.”
The combined company is projected to have annual unit sales of 8.7 million vehicles with overall revenue of nearly $189.5 billion, recurring operating profit of more than $2.2 billion, and an operating profit margin of 6.6 percent, based on a simple aggregated basis of 2018 results.