Ferrari is not a takeover target – heir will make sure

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The most iconic automotive brand in the world – Ferrari – has become a publicly traded company and the two Italian auto families involved in its past will make sure they remain in control and no one takes over their dynasty. Piero Ferrari, the son of founder Enzo Ferrari, owns ten percent of the company – the same holding that has been offered since Wednesday on the New York Stock Exchange. And the Agnelli family – which are the successors of the founder of Italy’s Fiat, together with the Ferrari heir are making sure they have control over the supercar brand. Included in the terms of the POI are rules that allow them to harness almost 50 percent of Ferrari’s voting rights, making virtually impossible any takeover idea. “We have an agreement among the families to protect our interests in Ferrari,” commented Piero Ferrari after the company’s initial public offering on Wednesday. “We have a very strong understanding.” Ferrari, 70, is also vice chairman of the company and he reiterated his desire to keep his 10 percent stake. John Elkann, chairman of Fiat Chrysler Automobiles NV and leader of the Agnelli family also added he expects their holding to remain Ferrari’s largest. Exor SpA, the Agnelli’s holding company, will retain around 23 percent of the spun off Ferrari following Fiat Chrysler’s spin off that includes dividing among shareholders its 80 percent stake. Ferrari has a so-called loyalty share scheme which grants long-term investors – those who would remain with the company for more than three years – a grant of special shares that artificially lift their voting rights. The two companies would get 48.7 percent of the voting rights, which is enough to deter any potential bidders. Via Bloomberg