The planned merger is set to create a shared parent company with a revenue of around 30 trillion yen, equivalent to £162 billion in GBP currency terms. According to experts in the field, it is anticipated that the unified organization will generate operating profits surpassing 3 trillion yen, or approximately £16 billion.
The upcoming automotive giant is set to achieve a sales figure of 8 million cars each year—placing it just below Toyota Motor Corp and Volkswagen AG in the global standings. Currently holding the spot is Toyota, with 11.7 million units sold annually, and Volkswagen following closely behind at 9.3 million vehicles per year.
The talks about the merger are set to wrap up by June 2025. The new partnership is planned to start its operations in August 2026. As a part of the reorganization process, both Honda and Nissan stocks will be removed from the stock markets around July-August 2026, followed by the introduction of the combined company.
A spokesperson for the companies stated that the collaboration between Nissan and Honda brings together Nissan’s knowledge in battery and electric vehicle technology with Honda’s research and development capabilities, seen as a move to keep up with increasing competition from Tesla and Chinese electric vehicle makers.
The integration marks a milestone in the car industry’s drive to stay competitive in the swiftly changing electric vehicle market landscape, according to experts in the field who believe this union may pave the way for a substantial shift in the worldwide automotive industry, specifically within the electric vehicle domain.
The businesses have agreed to continue with in-depth discussions on merging their operations while keeping their activities running until the merger is completed.
This significant partnership represents a consolidation in the sector and is anticipated to transform the industry’s landscape significantly by advancing electric vehicle technology and promoting sustainable mobility solutions.
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