Looks like the rumors that Cerberus bit off more than it can chew were right, at least if the report we're hearing from The Financial Times is correct. The're claiming — via Young Harry Potter Tim Higgins at the Freep:
"Cerberus Capital Management, the private equity firm that took a large bite into the U.S. auto industry by acquiring majority control of Chrysler LLC last year and GMAC LLC the year before, has reportedly sold more than half of its equity in those two firms to about 90 investors."
"Investors paid as much as $1 billion for stakes in one or both companies, the Financial Times has reported.
Spokespeople for both Chrysler and Cerberus did not immediately respond to questions."
Oh yeah, it's the end of the world as Chrysler knows it. Somehow, we don't think they feel so fine over in Auburn Hills right now. [via Freep]