Japanese automakers Nissan and Honda are in talks to merge, creating a new entity that could become the world's third-largest car company. The merger would combine Honda's strong financial position with Nissan's global manufacturing footprint.
Japanese automakers Nissan and Honda have begun official negotiations to merge, a move that could propel them to become the world's third-largest car manufacturer by sales. The companies announced their plans on Monday, revealing that a holding company will serve as the parent organization for both Nissan and Honda , listed on the Tokyo Stock Exchange. Honda also announced a share buyback plan totaling 24% of its issued shares by December 23, 2024.
Nissan's shares fell over 1% while Honda's surged over 15%. Nissan's strategic partner, Mitsubishi, has been given the option to join the new group and is expected to make a decision by the end of January 2025. Honda is projected to achieve 1.382 trillion yen in operating profit for the fiscal year ending March 2024, compared to Nissan's 568.7 billion yen. The merged entity would have a combined value of nearly $54 billion, with Honda's market capitalization contributing the larger $43 billion share. The potential merger is believed to stem from Nissan's financial challenges and the restructuring of its long-standing partnership with Renault
AUTO INDUSTRY MERGER NISSAN HONDA JAPANESE COMPANIES
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Honda and Nissan in Talks to MergeMedia reports suggest that Honda and Nissan are exploring a merger, potentially forming a holding company with Mitsubishi Motors.
Read more »
Honda and Nissan in Talks to MergeA potential merger between Honda Motor and Nissan is creating buzz in the automotive industry. The deal aims to create the world's third-largest automaker by combining their resources and expertise, particularly in the electric vehicle space.
Read more »
Honda, Nissan to Merge, Forming Third-Largest AutomakerHonda and Nissan to merge in a $50 billion deal, with Mitsubishi Motors joining the talks. The new holding company will be led by Honda, retaining both brands. The merger aims to boost competitiveness against Toyota and Volkswagen.
Read more »
Honda and Nissan to Merge, Forming Third-Largest AutomakerHonda and Nissan are joining forces to create the world’s third-largest automaker, aiming to compete with industry giants like Toyota and Volkswagen.
Read more »
Honda and Nissan plan to merge as we enter the age of electric carsHonda and Nissan have announced plans to merge as the Japanese automakers struggle with competition from rival brands in the electric vehicle market.
Read more »
Honda and Nissan to Merge in a $50 Billion DealHonda and Nissan announce plans to merge, forming the world's third-largest automaker. The move aims to enhance competitiveness in the evolving automotive landscape, particularly in the electric vehicle market.
Read more »