Nissan has confirmed that it will spend some $2,18-billion to purchase a 34% controlling stake in scandal-hit Mitsubishi.
Earlier on Thursday, we reported that the two Japanese automakers were in talks over some sort of agreement.
Mitsubishi, of course, recently admitted that it manipulated test data to alter the claimed fuel consumption figures of four of its mini-cars in Japan. Two of these, it produced for Nissan. The scandal saw Mitsubishi’s market value plunge.
The deal, which is expected to be confirmed by May 25, will see Nissan receive newly issued Mitsubishi shares.
Nissan chief executive Carlos Ghosn called the deal “a breakthrough transaction and a win-win” for both brands.
“Nissan is determined to preserve and nurture the Mitsubishi Motors brand. We will help this company address the challenges it faces, particularly restoring consumer trust in the fuel-economy performance,” Ghosn said.
“We believe we can realise billions of dollars in one time and continuing synergies by working closely together,” added Ghosn.
Meanwhile, Osamu Masuko, chief executive at Mitsubishi, said he hoped the agreement would help to restore confidence in his company.
“It is not an easy task to regain trust, so through the alliance with Nissan, we will be starting a path towards tackling this difficult task,” said Masuko.
