Honda and Nissan signed a memorandum of understanding on Dec 24, announcing plans to explore a potential merger to form a joint holding company by 2026.
Talks are expected to conclude by June 2025, with plans to list the new joint holding company on the Tokyo Stock Exchange’s Prime Market in August 2026. Honda recently reported weaker-than-expected earnings due to declining sales in China, while Nissan announced plans to cut 9,000 jobs and reduce production capacity by 20 per cent after a slump in sales in China and the US.
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