23/12/2024
Honda and Nissan have today officially kicked off merger talks by signing an MOU to form a new holding company. Mitsubishi, the third partner in this partnership has not signed an MOU yet and will make its decision by the end of January 2025. The merger, (where Honda is currently the much larger partner) will be an effective way of platform, product, engineering, R&D and knowledge sharing between these two storied automakers. The merger will not only be for the automotive businesses but in Honda’s case, will also include the motorcycle, power source and the aviation businesses. The MOU also states that both Honda and Nissan will have to come up with a viable business case to make the merger a success. The holding company is looking at a 30 trillion yen per year profit and a 7.5 million total sales figure as a joint force making them one of the largest automotive entities in the world. Heads of the automakers have also announced that although there will be a merger, the essence of each automaker will remain unaffected.
-MobileMechanics