Ferrari Financial Services, an Italian indirect subsidiary of Ferrari and FCA Bank (FCAB) announced they had signed a memorandum of understanding (MoU) for FCAB to acquire a majority stake in Ferrari Financial Services (FFS AG), a wholly owned subsidiary of FFS.

"As a result of the transaction, FFS and FCAB will continue the operations of FFS AG as joint venture partners, supporting the sales of Ferrari cars in certain European countries by offering innovative vehicle financing solutions to Ferrari customers. The funding of the joint venture will be provided by FCA Bank, which will also be the consolidating entity," the parties said in a statement.

FFS is Ferrari's own financial services provider based in Maranello, Italy.

FCAB is a banking group, and a joint venture between Fiat Chrysler Automobiles Italy and Crédit Agricole Consumer Finance, predominantly operating in the automotive financing sector in Europe.

"This transaction will expand FCAB activities and is consistent with its diversification strategy," the statement added. "The parties agreed not to disclose any financial details about the transaction."

The statement added the MoU would be "transformed into a set of definitive agreements later in the year. The consummation of the transaction is subject to approvals of competition and banking regulatory authorities".