Nissan’s inventory jumped after the data that negotiated an imaginable fusion with Honda so that they can compete with Tesla and the brands of Chinese electric vehicles.
Japan’s Nikkei newspaper reported on the imaginable merger on Tuesday, saying that corporations hope to be more competitive in the EV space.
Corporations are in talks to create an umbrella that has a corporate umbrella to facilitate a merger, Reuters reported on Tuesday, featuring a user with wisdom from the discussions.
Nissan shares were nearly 24% higher when local markets closed Wednesday. Honda investors less delighted, corporate final moves 3% lower.
The merger could also include another automaker: Mitsubishi Motors, Bloomberg reported on Tuesday, citing people familiar with the matter. Nissan is Mitsubishi’s largest shareholder.
“The contents of the report is not something that has been announced by our company. Nothing has been decided at the moment,” Mitsubishi said in a statement to BI.
On Wednesday, Bloomberg reported that the parent company of Taiwanese tech giant Foxconn had approached Nissan to take a controlling stake in the automaker.
“The content of the reports that Honda, Nissan and Mitsubishi Motors are considering a business integration is not based on an announcement from our company,” a Nissan spokesperson said in a statement to Business Insider on Wednesday.
“As announced in March and August, Nissan, Honda and MMC are contemplating probabilities for long -term collaboration, adding the content of the report, however, a resolution has not been made. If there are updates, we will notify all those interested In a good -chubed way, “added the instruction.
A spokesperson for Honda gave a similar statement to BI on Tuesday.
Foxconn representatives responded to Bi requests.
The building in Nissan’s stocks continues a complicated year for the car. Amid the drop in profits and fall in sales, Nissan Minor through 9,000 international jobs in November to reduce costs. Nissan’s shares have fallen by almost 25% this year. Honda shares have more than 15% of low this year.
Like Toyota and Honda, Nissan has come under pressure from Chinese EV makers.
BYD SATES temporarily took the market share in China and now its Japanese rivals in major progression markets such as Southeast Asia, with a diversity of electric and high-tech electric vehicles.
Andy Palmer, who evolved the first EV of the mass market in Nissan before leaving the corporate in 2014 as Coo, told BI in November that the corporate “stood on the foot” through not looking for new electric models and played 10 years in the brain in Ev Tech.
“Nissan is now discovered with a very bad diversity of products and apparent leadership in electric vehicles, and this is the direct result of poor management,” he said.
The potential consolidation comes after Honda and Nissan agreed to collaborate on EV batteries and software earlier this year.
During Nissan’s earnings call in November, CEO Makoto Uchida stated that the company had fallen and said that the automaker needed to strengthen its competitiveness.
“There are limits if we do this alone. So, that prompted us to dedicate ourselves to an association with Honda,” said Uchida.
Hop