Fiat has completed its acquisition of the remaining 41.46% of Chrysler Group for $3.65 billion.
The Italian brand acquired the stake from a retiree healthcare trust affiliated with the United Auto Workers (UAW) union called VEBA. Fiat paid $1.75 billion and Chrysler paid $1.9bn.
The acquisition now means Chrysler is a wholly owned subsidiary of Fiat Group and makes the company the seventh largest carmarker in the world.
Fiat has held a majority stake in Chrysler since 2009 through its Fiat North America subsidiary.
Fiat's chief executive, Sergio Marchionne, plans to widen the company's global reach.
Sergio Marchionne, chief executive of Fiat and chairman and CEO of Chrysler Group, said: “The unified ownership structure will now allow us to fully execute our vision of creating a global automaker that is truly unique in terms of mix of experience, perspective and know-how, a solid and open organisation that will ensure all employees a challenging and rewarding environment.”
Fiat Group's directors will be meeting in Italy on January 29 to discuss a new name for the company, where the headquarters will be and where stock for the new company will be listed.