Hiroshima Bank may acquire Mazda shares from Ford
HIROSHIMA —
Hiroshima Bank is considering the acquisition of some of the Mazda Motor Corp shares now held by major U.S. automaker Ford Motor Co, it was learned Wednesday.
Hiroshima Bank has equity stakes in many companies that deal with Mazda. For the bank, the proposed move would further strengthen its relationship with the automaker, while Mazda would secure the local financial institution as a stable shareholder, informed sources said.
How much stake Hiroshima Bank will acquire in Mazda is still under discussion.
Ford plans to reduce its stake in Mazda from 33.4% to around 13.4%, as it has been hit by sluggish new vehicle sales and sharp falls in its share price stemming from the recent turmoil in financial markets.
As well as Hiroshima Bank, four major Japanese nonlife insurance firms and Denso Corp, an auto parts maker affiliated with Toyota Motor Corp, are also considering purchases of Mazda shares from Ford. Mazda plans to buy back 10% of its own shares from Ford, according to the sources.
JCN
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ptolemy
sarcasm on: Ford is still in business? sarcasm off. The US "Big 3" are soon to become the "Nationalized One" very soon.
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bebert
That's 20% of Mazda that won't end up in the hands of American lenders when Ford eventually defaults on its massive debt.
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