« One million Nissan Tiida in the world | Home Page | Three million holes in roads »
Toyota may increase its stake in Subaru
By Yoann Besnard on 3 April 2008 | 
(0) Comments | Permalink
The Japanese carmaker plans to spend £152 million to increase its stake in Subaru form 8.7 per cent to 17 per cent according the Nikkei newspaper.
Toyota wants to increase its stake in Subaru by buying 64.25 million shares for a total amount of £152 million. However the carmaker has no intention to go beyond 20%. Toyota had bought the current stake from GM in 2005 when the American carmaker sold some assets to reduce its debt. Since then, Toyota has launched the Camry production at Subaru’s American facility located in Lafayette, Indiana, and the first vehicle rolled off lat year. Both carmakers are currently collaborating on a new affordable coupé based on the Impreza underpinnings and intended to be sold under the Toyota label. With its 17 per cent stake, Toyota wants to produce subcompact cars in the Subaru’s Japanese factory.
The increased stake won’t change Subaru’s affairs as the carmaker is used to having another carmaker among its shareholders. General Motors bought 20 per cent of Subaru in 1999 to increase its presence in Japan. Their collaboration gave birth to the Saabaru 9-2X while Subaru sold the Zafira in its domestic market. Before that, the stake owned by GM was owned by Nissan, who acquired the stake in 1968 during a period of government-ordered merging of Japanese auto industry to merge in order for improved competitiveness .
