DaimlerChrysler announced today that it successfully sold 80 percent of its stake in Chrysler to Cerberus Capital Management. The German automaker will be renamed Daimler AG, and Chrysler will return to American ownership.

As a part of the deal, Daimler agreed to assume $1.5 billion of debt and retain a 19.9 percent stake in Chrysler.

The deal, first announced in May, hit several roadblocks in recent weeks as credit markets tightened considerably, making it more difficult to find investors to commit to debt offerings.

A group of investment banks led by J.P. Morgan agreed to hold onto the remaining $10 billion worth of debt they were unable to sell. They were able to find investors to finance another $8 billion in loans for Chrysler's financing unit. Cerberus is investing $7.1 billion in Chrysler.

Cerberus is expected to name Wolfgang Bernhard as chairman of Chrysler's board of directors. Chrysler C.E.O. Tom LaSorda is expected to remain in his position.

The sale ends the tumultuous relationship between the two automakers that began nine years ago, when Daimler bought Chrysler for $36 billion.

Related links:

• Bloomberg: DaimlerChrysler Closes Sale of Chrysler to Cerberus 
• AP: Cerberus Gains Control of Chrysler