Chrysler decided to sell its stake in Peugeot.

Chrysler said Monday that it is selling its minority stake in Peugeot, the French auto maker, in order to free up more cash for spending on new cars and trucks in the United States. The No. 3 auto maker said its 12.5% holding of Peugeot stock and stock warrants, currently worth about $275 million, will be sold by June 11. The proceeds will go directly into Chrysler’s capital spending program.