Fiat Chrysler replaces CEO Sergio Marchionne for health reasons

Sergio Marchionne has led Fiat Chrysler for more than a decade

The long-time chief executive of carmaker Fiat Chrysler, Sergio Marchionne, has been replaced due to ill health.

His health worsened in recent days after he suffered complications from surgery on his right shoulder.

Mr Marchionne, 66, has led the combined company for more than a decade and planned to step down as CEO next year.

He will be replaced by Mike Manley, the head of the Italian-American company's Jeep division.

"Unexpected complications arose while Mr Marchionne was recovering from surgery and... these have worsened significantly in recent hours," Fiat Chrysler said in a statement on Saturday.

"The Board resolved to accelerate the CEO transition process that has been proceeding over the past months."

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Mr Marchionne was also chairman and CEO of Ferrari. The sports car maker also announced a replacement, naming Fiat Chrysler chairman John Elkann as his successor.

In a statement, Mr Elkann said he was "profoundly saddened" by the situation.

"He taught us to think differently and to have the courage to change, often in unconventional ways, always acting with a sense of responsibility for the companies and their people," he said of Mr Marchionne.