Fiat Triples its Chrysler Dividend by Refinancing

Fiat S.p.A. has reportedly tripled the amount of the dividend it will receive from the Chrysler Group this year due to Italian automaker’s restructuring of its debt and the rewriting of the rules controlling the funding of the debt. Fiat currently owns 58.5 percent of America’s third largest carmaker.

Unnamed insiders say that increase the limits on how much of a dividend Fiat can take from the American automaker. This year, many believe that earn $936 million in Chrysler dividends, a huge increase over the $300 million limit of the former restrictions. The refinancing, is one more step taken by Sergio Marchionne, the CEO of both Fiat and Chrysler, as he marches towards merging the two carmakers into a single, major vehicle producing entity.