Ferrari chief Sergio Marchionne replaced as result of illness

Mike Manley appointed head of FCA

Fiat Chrysler chief Marchionne set to be replaced following health issue

The news was confirmed on Saturday evening, with Ferrari naming John Elkann as the company's new chairman.

Fiat Chrysler Automobiles executives have been called for urgent meetings to appoint a successor to chief Sergio Marchionne after he suffered complications from surgery. A statement from Ferrari added that he would not be able to return to work.

Marchionne has overseen numerous changes that have returned Ferrari to success in recent years and was heavily involved in decisions on driver line-up and the team's overall direction.

A Ferrari statement said the company had learned of Marchionne's condition "with deep sadness" and thanked him for "the extraordinary contribution he has made in recent years at the helm of Ferrari".

Marchionne, an Italian-Canadian, joined Fiat in 2004 and led the Turin-based company's merger with bankrupt US carmaker Chrysler as well as the spin-off of luxury sports vehicle maker Ferrari. Suzanne Heywood, managing director of the Agnelli family's Exor NV, was named chairman of truck and farm-equipment maker CNH Industrial. Ferrari announced Louis Camilleri, a longtime executive at Philip Morris International, to replace Marchionne as Ferrari's CEO.

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But Marchionne developed complications following surgery in Italy and his health took a turn for the worse, making the corporate news necessary.

In order to accelerate the CEO transition process, the board has named Mike Manley as CEO.

The two men have worked together for 14 years and while they did not always agree, Elkann watched Marchionne create the company now known as FCA from the partnership of an ailing Fiat and a bankrupt Chrysler in 2008 that needed a business partner as a condition of exiting bankruptcy protection.

Taking effect immediately, the board has granted Manley all the powers of CEO. He unveiled FCA's plans through 2022.

Manley also oversaw the expansion of Jeep into China as COO of FCA's Asia-Pacifica region, which has become a third profit center for the automaker behind North America and Europe, from 2011-2017.

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