Intesa gives preliminary OK to 6.3 billion euro state-backed loan for FCA: source

MILAN (Reuters) – Italy’s biggest retail bank Intesa Sanpaolo gave its preliminary approval to a state-backed 6.3 billion euro ($6.9 billion) three-year loan for Fiat Chrysler’s Italian unit, a source close to the matter said on Tuesday.

The loan will be effective when Fiat Chrysler (FCA) completes the approval process with Italy’s export credit agency SACE, through which the state provides its guarantee on 80% of the amount, and obtains a final authorisation and conditions for the loan from the Treasury, the source said.

FCA was not immediately available for comment.

($1 = 0.9117 euros)

(Reporting by Valentina Za and Gianluca Semeraro, writing by Giulio Piovaccari)