Fiat Powertrain Buys VM Motori Stake

Fiat's engine-making subsidiary and General Motors will share ownership in an Italian manufacturer of diesel engines.

MILAN (AP) -- Fiat's engine-making subsidiary and General Motors will share ownership in an Italian manufacturer of diesel engines.

Italian automaker Fiat SpA, which controls Chrysler, says its Fiat Powertrain subsidiary has bought a 50-percent stake in VM Motori SpA from Penske Corp. GM has owned the other half since September 2007.

Fiat and GM said in a joint statement Friday that the deal is subject to customary anti-trust scrutiny. Financial details were not disclosed.

They say that GM and Fiat Powertrain will jointly manage VM, and existing relationships will continue. The move expands Fiat's diesel engine portfolio.

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