Fiat Group is not planning a capital increase to provide financial support for the company’s development plans, Fiat Group investor relations spokesman Marcello Ledda said in a statement on Tuesday.
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He was referring to reports published Tuesday by Italian daily La Repubblica.
“Fiat hereby clarifies that all the information on the performance of the group and its business outlook will be presented next Monday by…chief executive officer Sergio Marchionne,” Ledda added.
According to Dow Jones, La Repubblica, without citing sources, said Marchionne would lower Fiat’s financial targets, including a prior plan to achieve an operating break-even at group level this year.
The report also said the company needed at least €2.5 billion in fresh financial resources, Dow Jones added.
According to the news agency, Fiat said no rights issue would be required to support its financial recovery plan.
Some analysts speculate Fiat could sell assets, such as its robotics unit Comau or its components maker Magneti Marelli, to raise cash, if needed, though the company has declined to comment on the matter, Dow Jones noted.
