Fiat Chrysler In Talks With Hyundai Motor On Partnership

(RTTNews) - Fiat Chrysler Automobiles (FCAU) was in talks with Hyundai Motor Co. about a partnership to develop hydrogen engines.

The alliance, which would also cover transmissions, could become "a strong one," Fiat Chrysler Chief Executive Officer Sergio Marchionne reportedly said at the Alfa Romeo Museum in Arese, near Milan.

"There is the potential of a technical partnership with Hyundai, which already supplies some components and transmissions for the U.S.," Marchionne told reporters after a presentation on Alfa's planned Formula One return. "Let's see if we find a deal to develop transmissions and hydrogen."

Marchionne reportedly said that there is no likelihood of a merger with Hyundai.

Marchionne, who at 65 is preparing a five-year business plan before retiring from the post in 2019, confirmed plans to spin off Fiat Chrysler's Magneti Marelli and Comau component businesses into separate companies by the start of 2019. The mechanism hasn't been decided, but could include selling a stake to raise cash.