Volkswagen AG plans to refrain from using its stock to raise capital in the near future after Europe’s largest automaker amassed 3.7 billion euros ($4.94 billion) in the last seven months by selling bonds convertible into its preferred shares.
Michelin & Cie agreed to form a joint venture with Indonesian petrochemical producer PT Chandra Asri Petrochemical Tbk to make synthetic rubber as Europe’s largest tiremaker forecast increasing demand for the material.
Michelin & Cie rose the most in four weeks after Europe’s largest tiremaker reported monthly industry volumes that showed signs of stabilization in the region’s car market, which is poised to decline for the sixth straight year.
Sergio Marchionne, chief executive officer of Fiat SpA and Chrysler Group LLC, is closing in on refinancing deals for both automakers ahead of a plan to merge the two companies, people familiar with the matter said.
Volkswagen AG, Europe’s biggest carmaker, sold 1.2 billion euros ($1.6 billion) in debt convertible to preferred stock to finance expansion that includes new plants and a full takeover of truck unit MAN SE.