Nissan Completes Mitsubishi Takeover

Nissan Motor had completed a deal to take a controlling stake in Mitsubishi Motors Corp.

Japan’s No. 2 automaker Nissan Motor has agreed to make a 237 billion yen (USD2.29 billion) investment to acquire a 34 percent stake in Mitsubishi Motors.

The deal will make Mitsubishi Motors a member of an alliance between Nissan and French automaker Renault.

As Nissan becomes the dominant stake holder in Mitsubishi Motors, Mitsubishi’s group companies – trading house Mitsubishi Corp, Mitsubishi Heavy Industries Ltd and Bank of Tokyo-Mitsubishi UFJ Ltd – will see their combined stake diluted to around 17 percent, from about 34 percent before the deal was announced.

The partnership would generate significant synergies in areas including purchasing and plant utilisation, adding that they would jointly develop automated driving technologies and plug-in hybrid vehicles.