Fiat Chrysler Automobiles plans to spin off Ferrari in an IPO later this month. And the value of the Italian maker of exotic, sexy sports cars just keeps going up.
“Ferrari’s coveted status as a maker of cars for the super rich is helping push up its value in an initial public offering to as much as 11 billion euros ($US12.4 billion), according to people familiar with the matter,” reported Bloomberg’s
Tommaso Ebhardt, Manuel Baigorri and Ruth David.
Earlier this year, a figure of $US11 billion was being tossed around. FCA and Ferrari haven’t yet priced the offering, but that’s expected soon, possibly as early as Friday, according to Bloomberg.
A Ferrari IPO has been rumoured for years. Last year, longtime Ferrari Chairman Luca di Montezemolo stepped down, replaced by FCA CEO Sergio Marchionne.
It was suspected that the two men had clashed over differing visions of Ferrari’s future. Montezemolo wanted to preserve Ferrari’s exclusivity and hold production at around 7,000 cars per year.
Marchionne wants to build more Ferraris, to satisfy a global demand for high-end luxury products. Ferrari, with cars that start at $US200,000, definitely fits that description.