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Ferrari stock demand exceeding supply

As with the Ferrari cars, so it is with shares in the company's initial public offering: When Ferrari has a limited quantity of something to sell, demand far outstrips supply. Investors told banks weeks ago that bids for the $1 billion in stock – up to 18.89 million shares – would exceed the number of shares available over the entire expected range of $48 to $52. Ten percent of the company is going on the block' Bloomberg reports that the books close on the IPO on Monday at 4:00 pm. The final price will be set on Tuesday, and trading will begin Wednesday under the ticker symbol RACE on the New York Stock Exchange. Piero Ferrari, the son of Enzo Ferrari, will hold onto the ten-percent stake he currently has in the company. Fiat Chrysler will disburse the final 80 percent to its investors sometime in 2016. In combination with spinning Ferrari off from its parent company next year, the share sale is expected to put $4 billion into Fiat Chrysler coffers, which will be used to help fuel the growth of Alfa Romeo, Jeep, and Maserati. Assuming all goes to plan, Bloomberg says Ferrari will be valued at roughly $12 billion, a number $1 billion greater than the valuation Fiat Chrysler CEO Sergio Marchionne put on Ferrari earlier this year and higher than the brand's own internal assessment. Related Video:

Stellantis ready to kill brands and fix U.S. problems, CEO Tavares says

  MILAN — Stellantis is taking steps to fix weak margins and high inventory at its U.S. operations and will not hesitate to axe underperforming brands in its sprawling portfolio, its chief executive Carlos Tavares said on Thursday. The warning for lossmaking brands is a turnaround for Tavares, who has maintained since Stellantis was created in 2021 from the merger of Italian-American automaker Fiat Chrysler and France's PSA that all of its 14 brands including Maserati, Fiat, Peugeot and Jeep have a future. "If they don't make money, we'll shut them down," Carlos Tavares told reporters after the world's No. 4 automaker delivered worse-than-expected first-half results, sending its shares down as much as 10%. "We cannot afford to have brands that do not make money." The automaker now also considers China's Leapmotor as its 15th brand, after it agreed to a broad cooperation with the group. Stellantis does not release figures for individual brands, except for Maserati which reported an 82 million euro adjusted operating loss in the first half. Some analysts say Maserati could possibly be a target for a sale by Stellantis, while other brands such as Lancia or DS might be at risk of being scrapped given their marginal contribution to the group's overall sales. Stellantis' Milan-listed shares were down as much as 12.5% on Thursday, hitting their lowest since August 2023. That brings the loss for the year so far to 22%, making them the worst performer among the major European automakers. Few automotive brands have been killed off since General Motors ditched the unprofitable Saturn and Pontiac during a U.S. government-led bankruptcy in the global financial crisis in 2008. Tavares is under pressure to revive flagging margins and sales and cut inventory in the United States as Stellantis bets on the launch of 20 new models this year which it hopes will boost profitability. Recent poor results from global carmakers have heightened worries about a weakening outlook for sales across major markets such as the U.S., whilst they also juggle an expensive transition to electric vehicles and growing competition from cheaper Chinese rivals. Japan's Nissan Motor saw first-quarter profit almost completely wiped out on Thursday and slashed its annual outlook, as deep discounting in the United States shredded its margins. Tavares said he would be working through the summer with his U.S. team on how to improve performance and cut inventory.

Are Chrysler's Stow 'N Go seats really that great?

Are Chrysler's Stow 'N Go seats really such a great thing? Seriously, I'm asking. Do owners of the Chrysler Pacifica, as well as the Dodge Grand Caravan and Chrysler Town & Country before it, actually use the innovative functionality that see the second-row captain's chairs fold away into the floor? Frankly, I've always had my doubts. Car reviewers have long sung Stow 'N Go's praises, impressed with the ability to quickly turn the minivan from people carrier to work van. You'll frequently read mentions of needing to move sheets of plywood or treadmills or their kids' entire dorm room. Doing so is without question far easier when you can quickly make the second-row seats disappear as opposed to giving yourself a hernia lifting the things out and storing them in the garage – if removing them is even possible at all. Except here's the thing. We car reviewers have borrowed that van for the purpose of moving whatever it is we needed to move. Maybe the van in question is a long-term test vehicle like our old Pacifica Hybrid, maybe it's the more typical weeklong test loan. Either way, this is not a typical use case. The van is being considered more for its cargo-carrying abilities than its people-carrying abilities, and I just don't think that's representative of the typical minivan owner. Further to that point, the Stow 'N Go seats' flipping and folding capability might be great for versatility, but it makes for less comfortable seats. Although they have definitely improved in the 15-plus years since they were introduced, the Pacifica's Stow 'N Go seats remain thinner and flatter than the typical captain's chair. One can deduce that even Chrysler is aware of this as a downside. You see, the Pacifica Hybrid does not have Stow 'N Go seats since the giant underfloor hole they stow and go into is full of batteries. Instead, it has second-row captain's chairs  that don't seem to be discernibly different from those up front – they're far more comfortable. You can see the difference in the pictures above, with the gas-only Pacifica in red and the Hybrid in blue. I'm therefore left with the question: Would you rather have a far more comfortable seat, or an improved ability to carry some plywood? Considering the second-row designs of rival vans, it would seem that market research for Honda, Toyota and Kia isn't skewing in the direction of plywood. Much like the rest of the automotive industry, the minivan segment is rife for copy-catting.