All NEW Investors: Your gift matched $ for $ this week! GIVE NOW

Kerkorian’s back in the Chrysler race

Scott Jagow Apr 6, 2007
HTML EMBED:
COPY

Kerkorian’s back in the Chrysler race

Scott Jagow Apr 6, 2007
HTML EMBED:
COPY

TEXT OF STORY

SCOTT JAGOW: Billionaire investor Kirk Kerkorian is making another run at Chrysler. Yesterday, he pitched a $4.5 billion offer.

Kerkorian tried to get Chrysler 12 years ago but he was rejected, and Germany’s Daimler wound up buying the company three years later.

Analyst John McElroy says the wild card in any deal for Chrysler could be the auto workers union.

JOHN MCELROY: The union’s gonna be very leery of a private equity firm of any sort coming in. If you say Kerkorian’s telling them he’ll make them an equity partner, what does that mean? Maybe he’ll give them a board seat. I don’t see where the union’s gonna kick in any money to go buy Chrysler.

Kerkorian’s bid is a tad lower than one from a Canadian auto-parts supplier.

Two other private equity firms are also interested in Chrysler.

We’re here to help you navigate this changed world and economy.

Our mission at Marketplace is to raise the economic intelligence of the country. It’s a tough task, but it’s never been more important.

In the past year, we’ve seen record unemployment, stimulus bills, and reddit users influencing the stock market. Marketplace helps you understand it all, will fact-based, approachable, and unbiased reporting.

Generous support from listeners and readers is what powers our nonprofit news—and your donation today will help provide this essential service. For just $5/month, you can sustain independent journalism that keeps you and thousands of others informed.