Nissan explores possible sale of 34% stake in Mitsubishi Motors: Bloomberg By Reuters


© Reuters. FILE PHOTO: Mitsubishi Mi-Tech concept car is seen in Tokyo Motor Show in Tokyo

TOKYO (Reuters) – Nissan (OTC:) Motor Co (T:) may sell its 34% stake in Mitsubishi Motors Corp (T:) in what would be a fundamental change in a three-way alliance that also includes France’s Renault SA (PA:), Bloomberg News reported, citing unidentified sources.

Nissan is considering looking for potential buyers, which could include other shareholders such as trading firm Mitsubishi Corp (T:), as it is worried it may struggle to recover from a downturn caused by the coronavirus pandemic, Bloomberg said.

“There are no plans to change the capital structure with Mitsubishi,” Nissan told Reuters in an emailed statement.

Nissan, which is 43% owned by Renault, last week cut its operating loss forecast for the year to March by 28% to 340 billion yen ($3.25 billion), helped by a rebound in demand, especially in China.

Mitsubishi Motors, Japan’s No.6 automaker, expects to post an operating loss of 140 billion yen for the business year.

Both companies are cutting production levels and costs in a bid to return to profitability.

($1 = 104.5300 yen)

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Be the first to comment

Leave a Reply

Your email address will not be published.


*