Fiat has bought the remaining 50 percent stake in VM Motori that was previously held by General Motors for €34.1 million (R460.3 million), following up on a put-option by GM, after three years as a joint venture. Having acquired an initial 50 percent stake in VM in 2010, Fiat now has 100 percent control.
Established in 1947, VM Motori specialises in the production of diesel engines. Its Cento plant in north-east Italy, covers an area of 85 000 square metres and employs about 1150 people.
90 000 ENGINES A YEAR
VM produces about 90 000 engines a year for customers such as Jeep, Chrysler, Lancia and LTI, manufacturers of the iconic London Taxi. A VM engine, also powers the first ever diesel model recently launched by Maserati.
VM also supplies engines to a number of large customers from other sectors - including industrial, agricultural and marine - based on the technologies developed for the auto sector.
In the South African market, VM Motori engines are found in the Chrysler 300C, Chrysler Grand Voyager, Jeep Grand Cherokee and the current Jeep Cherokee range.