The shareholders of the two companies overwhelmingly approved the merger, which analysts said was designed to ensure the survival of the two companies.
In separate meetings, Carlos Tavares, CEO of Groupe PSA, and FCA President John Elkann discussed the “historic” importance of the vote, which brings together former carmakers, each important to the industrial history of states. United, France and Italy.
The new company, to be called Stellantis, will produce 14 brands, from Fiat, Maserati and Jeep, Dodge and Ram of FCA in the United States, to Peugeot, Citroën, Opel and DS of PSA. PSA has traditionally focused more on the European market.
Tavares, who will head the new company, told reporters that “affordability, sustainability and security” would be the top three priorities, with an emphasis on clean energy technology.
In terms of sales and number of cars produced, the company will rank behind Volkswagen, Toyota and Renault-Nissan.
The merger has been underway for about a year, in hopes of creating a company better positioned to compete with the other major global automakers. Analysts say it remains to be seen whether the new company can preserve jobs and its traditional brands in a global market still suffering from the coronavirus pandemic.