Auto maker Stellantis will fill gap by buying a finance arm
Automaker Stellantis NV, which was formed earlier this year by a merger involving Fiat Chrysler, said Wednesday it will pay $285 million for an auto-finance company to provide loans and leases to customers through its dealers.
Netherlands-based Stellantis said it will pay cash to acquire F1 Holdings Corp., the parent of Houston-based auto-finance firm First Investors Financial Services Group. The deal is expected to close by year end.
Stellantis CEO Carlos Tavares said owning a finance company in the U.S. will let the automaker provide customers and dealers options including loans, leases and “floorplan” or inventory financing that is common in the car-dealership business.