Honda Motor and Nissan Motor took their first steps toward a historic merger that would create a new force in the world's automotive industry, as aggressive competition from China forces legacy carmakers to rethink their business models.
The two Japanese auto manufacturers signed a basic agreement for merger talks on Monday and held a joint media briefing in Tokyo. Honda also said it will buy back as much as ¥1.1 trillion yen ($7 billion) of its own shares.
A holding company will be created to house the new entity and should be listed by August 2026, the firms said, adding that Honda will be able to nominate a majority of the new company's board of directors.
Mitsubishi Motors Corp., which is 24.5 per cent owned by Nissan, also signed the memorandum of understanding and will likely be part of the group with a final decision on that expected by the end of January.
Such an alliance would give rise to one of the world's largest carmakers, pitting the trio against Toyota Motor Corp. at home and Chinese automakers abroad, including BYD and Geely Automobile Holdings Ltd.
Denne historien er fra December 24, 2024-utgaven av Business Standard.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent ? Logg på
Denne historien er fra December 24, 2024-utgaven av Business Standard.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent? Logg på
NSO REPORT ON UNINCORPORATED SECTOR Fresh job creation slows in 2023-24
Fresh employment generation in the unincorporated sector slowed in the October 2023-September 2024 period, with additional job creation dipping to 10.97 million during this interval as compared to the equivalent figure of 11.74 million in October 2022-September 2023.
RBI report sees signs of economic recovery in Q3
Cites strong festival season, rural demand pickup; FPI flows positive
Pioneer of parallel cinema dies at 90
Veteran filmmaker Shyam Benegal, who heralded the Indian parallel cinema movement in the 1970s and 1980s with films such as Ankur, Nishant and Manthan, died on Monday, his daughter Pia said. He was 90.
How tech is changing the landscape of elder care
The concluding part of the silver economy series looks at innovative apps and wearables that are empowering seniors and their families
ALGO RHYTHM AND BLUES
Can Sebi's draft rules on algorithm-based trading level the playing field between institutional and non-institutional investors?
AVOIDING MIS-SELLING BY MF DISTRIBUTORS Say no to NFOs, buy direct plans and seek advice from Sebi RIAs
The Securities and Exchange Board of India (Sebi) has implemented a new rule to curb unnecessary portfolio churn by distributors, usually done during the launch of new fund offers (NFOs) to pocket higher commissions.
Amber Enterprises posts sharpest rise in 2 mths
13% gains driven by block deal in which 1% equity changed hands
NEW LISTINGS ADD 3% TO INDIA'S MCAP IN 2024
New listings through initial public offerings (IPOs) in 2024 contributed nearly 3 per cent (₹14 trillion) to India's market capitalisation, surpassing last year's contribution of 1.4 per cent (₹5 trillion).
Weak management commentary weighs on Siemens stock
Siemens's share price has lost ground in the past few sessions following weak management commentary.
Mkts stage sharp recovery after five days of fall
Equity benchmark indices Sensex and Nifty rebounded sharply on Monday after five days of steep decline amid value buying at lower levels and a rally in global markets.