
Nissan Motor Co. Ltd. and Mitsubishi Motors Corporation have signed an agreement to form a strategic alliance which saw the former buying 34% of the latter’s shares for 237 billion yen (around P 100.9 billion).
The 2 automotive companies have agreed to work together on key areas such as purchasing, vehicle platform sharing, tech, collaborative plant utilization, and growth markets. This move also extended their existing partnership that was inked 5 years ago.
“This is a breakthrough transaction and a win-win for both Nissan and Mitsubishi Motors. It creates a dynamic new force in the automotive industry that will cooperate intensively. We will be the largest shareholder of MMC, respecting their brand, their history, and boosting their growth prospects,” said Nissan Motor Co. Ltd. Chief Executive and President Carlos Ghosn.
In line with this, Nissan will purchase 506.6 million newly-issued Mitsubishi shares, reflecting the volume-weighted average price from April 21 to May 11, 2016. Each share purchased will cost 468.52 yen, and will be subjected to an agreement-signing by Nissan’s Alliance group and other MMC shareholders like Mitsubishi Heavy Industries, Mitsubishi Corporation, and the Bank of Tokyo-Mitsubishi UFJ. By the end of the year, Nissan will have successfully closed the deal, making it the biggest shareholder of MMC.
Nissan’s huge acquisition of MMC will strengthen its Alliance group, which it created 17 years ago along with French carmaker Renault. To date, Nissan has also acquired stakes or signed partnerships with other automotive groups like Daimler and AutoVaz.
Latest News
-
How much has changed in the Chevrolet Suburban in 85 years? / News
From humble carry-all truck to dependable luxury SUV, here’s how the Chevrolet Suburban has evolved through the years.
-
Facelifted Mazda2 is now available in the Philippines at P995k / News
Mazda Philippines brings in refreshed Mazda2 sedan and hatchback with sole variants
-
ASEAN NCAP bags Prince Michael International Road Safety Award / News
Public recognition for the ASEAN branch of the organization that helps with road and crash safety.
Popular Articles
-
Cheapest cars under P700,000 in the Philippines
Nico Ylanan · Nov 06, 2018
-
Editor Speaks: Best automatic cars in the Philippines
Nico Ylanan · Nov 12, 2018
-
How does park assist work?
Nico Ylanan · Nov 21, 2018
-
Most fuel efficient SUVs in the Philippines
Nov 26, 2018
-
2018 Toyota Rush stirs bold-looking MPV segment in PH
Jacob Oliva · May 04, 2018
-
Family cars in the Philippines with the biggest trunks
Nov 14, 2018
-
Head to Head: Toyota Fortuner Vs. Nissan Terra
Nico Ylanan · Jun 01, 2018
-
4 mistakes people do before buying their first car
Jacob Oliva · Nov 26, 2016
-
2019 Suzuki Jimny is H2 and G-Class in one tiny body
Dan Pabustan · Jun 18, 2018
-
Can the 2018 Mitsubishi Xpander really replace the Adventure AUV?
Jacob Oliva · Mar 02, 2018