Honda-Nisan merger: Will Nissan-Hoda break the merger? Why is this deal stopping?
There is a possibility of a large vibration in the Japanese automobile industry. The proposal between Nissan and Honda announced in December 2024 is now in danger. Has Nissan Board plan to reject Honda merger? The news is coming to this extent.
When is the final decision?
Nissan has suggested that Honda’s proposal is proposed to make Nissan a assistant. If the proposal rejects, the merger between the two companies is likely to stop. The Nissan Board meeting will be held on Wednesday and the final decision on the proposal will be finalized.
There are some opposite
The current market price of Honda is estimated to be around $ 47 billion. This is 5 times more of the Nissan value. For this reason, Honda, under the merger, expects to buy shares of Nissan and make it aids. However, many senior Nissan officials oppose the proposal, while others support.
What happens to the deal
Honda and Nissan will become the world’s largest car manufacturer in the world if the deal succeeds. But now, there are reports that the plan has been damaged due to the delay in the plan and the difference in discussions. Honda’s shares rose by 3.2 percent on Wednesday and Nissan’s shares first fell to 2.7 percent. It is also clear that investors are confused about the fate of this deal.
Renault, Mitsubishi Motors
Renault and Mitsubishi Motors are also likely to block the Nissan merger. He has shares in Nissan. Renault representatives are allegedly demanding additional compensation for the deal. On the other hand, Mitsubishi Motors Corporation has already indicated to be involved in the merger. The company said it would focus on their decision after the final agreement between Honda and Nissan.
If okay
Some people say that Honda and Nissan talks are still going on and the final outline of the deal is being prepared by mid -2025. At the same time, if the merger is successful, the joint holding company will be listed in the market in August 2026. However, there is suspicion about the fate of the deal with this news that Nissan will reject the proposal. Do both companies deal with their differences? Or? We need to see.