UPDATE 1-Fiat, banks in talks over loans, cap hike-sources


(Adds confirmation from sources, market reaction) MILAN, April 24 (Reuters) - Fiat is talking with creditor banks about their extending the deadline of a three billion euro loan, offering more credit and underwriting a possible Fiat capital increase, financial sources said Thursday. The banks have long been keen to avoid converting the three billion euro loan -- granted last year -- into Fiat shares. The sources confirmed a report in financial daily Il Sole 24 Ore that the banks were ...

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