Takeovers: Local Boy Wins Bride

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For more than a month, America's Ford and Italy's Fiat had waged a fervent campaign for the hand of Alfa Romeo, the prestigious but financially troubled maker of sleek sports cars. Last week the local swain won. I.R.I., the Italian state conglomerate that owns Milan-based Alfa, announced acceptance of Fiat's $5 billion offer for 100% ownership. Also-ran Ford's bid was never made public, but it was believed to include an initial $100 million for a 20% chunk of Alfa plus promises of a hefty $2 billion additional investment in the company.

Alfa Romeo is in bad shape, having lost an estimated $170 million last year. Even so, Ford had wanted to use Alfa's products to compete in the European and U.S. markets for luxury sports cars now dominated by such rivals as Mercedes- Benz and Jaguar. But Fiat was eager to protect its No. 1 position in Italy by keeping Alfa out of Ford's hands.