May 7, 1998 – Daimler-Benz buys Chrysler

On this day in 1998 Daimler-Benz purchased Chrysler Corporation for $36 billion. At the time, the deal was the costliest acquisition of a US company by a foreign buyer. The sale proved to be quite beneficial in the short term, as stock prices rose quickly on the New York Stock Exchange, but the sweetness soon soured. In 2006, following a $1.5 billion loss on the year, Daimler sold Chrysler to Cerberus Capital Management for a measly $7.4 billion. Pictured is a 1998 Dodge Viper, a Chrysler product from the year of the sale.