The Indian automobile maker Mahindra&Mahindra is extending its might to Cimino, the Sicilian Financier to wretch the Fiat SpA Termini Imerse car factory deal. The deal might envisage the latter to produce electric vehicles in its platform. The prospective deal with Reva Electric Car co will involve $602million for Cimino for erecting the plant at Termini for making electric vehicles. Cimino expressed his willingness to take over the plant quoting strong financial stability arising out of equity funds generated from the private sources.
The earlier attempt from Mahindra for the same bid involved 55% share in Reva Electric. The president of Mahindra for automotive and farm-equipment sector said the process will yield positive results and it may benefit Cimino. He said nothing could be arrived at this preliminary stage of the process.
The Termini plant of Fiat is on the sluggish level, with production seem to be stopped deciding the fate of some 1400 employees in Sicily and the assembly unit at Lancia Ypsilon. The closure may materialize in the end of 2011. The event will incur loss to The Turin, an Italy-based car manufacturer to a tune of 1000 euro for every car coming out of this plant. The closure comes in the wake of insufficient infrastructure and the shipping constraints for cost factor. The advisor to Italy’s industry minister is on the steps for shortlisting the Termini bidders. To ease the tension in labor issue the Italian government started necessary initiatives to call upon the labors and the representatives of Fiat for a talk in Rome.