Nissan's board of directors plans to reject Honda's conditions for the merger of the two automakers, jeopardizing the plan to create a joint holding company.
This was reported by The Wall Street Journal, UNN.
Details
Nissan's board of directors was scheduled to meet on Wednesday, and its members warned that no final decision on the termination of the deal has been made.
On December 23, Nissan and Honda announced that they plan to merge and become subsidiaries of the same holding company. According to a WSJ source, in recent days Honda has offered to make Nissan a subsidiary of Honda. However, Nissan reportedly considers the new proposal unacceptable and plans to reject it.
According to the information, Nissan and Honda will continue the cooperation started before the merger talks, including joint work on software and electric vehicles.
If the plan to merge with Honda fails, it will increase the pressure on Nissan to convince creditors, employees and customers that the company can survive in the face of fierce competition in the US and China. Nissan has lost ground in both markets.
Recall
Earlier, UNN wrote that Nissan and Honda signed an agreement to create a joint holding company that would go public in August 2026. The deal was a lifesaver for Nissan, which had to cut production plans by 20% and announce the layoffs of nine thousand employees.