MILAN (AP) — Fiat Chrysler Automobiles CEO Sergio Marchionne says the public offering of 10 percent of supercar maker Ferrari will be delayed until the fourth quarter.
Marchionne told reporters in Venice on Friday that the lawyers have advised that the IPO must wait for one year after the Fiat-Chrysler merger, which took effect on Oct. 12. A spokesman confirmed the remarks Saturday and said the period was defined by U.K. tax law.
Fiat Chrysler had initially planned the initial public offering for the first half of this year, then extended it to the third quarter.
The move unlocks the luxury brand's value and distinguishes it from its mass-market parent, while raising cash to support the newly merged carmaker's plans to invest 48 billion euros ($61 billion) over five years.