Ciaran
27-03-2000, 03:30 PM
Looks like mergers in the auto industry are the way to go...
German-US car giant DaimlerChrysler has bought a controlling minority in Japan's Mitsubishi motors - creating the world's third-biggest car manufacturer.
Under the terms of the agreement, DaimlerChrysler will take a 34 per cent stake in Mitsubishi, which will give it the power to veto board decisions under Japanese law.
The deal, which will cost DaimlerChrysler 2.1 billion euros, will lead to co-operation in designing, manufacturing and selling passenger cars and light commercial vehicles.
DaimlerChrysler has long been aiming to get into the lucrative Asian market, which is expected to grow by 8-10 per cent this year alone according to industry sources.
------------------
Ciaran Moran.
ciaran@eForecourt.com
German-US car giant DaimlerChrysler has bought a controlling minority in Japan's Mitsubishi motors - creating the world's third-biggest car manufacturer.
Under the terms of the agreement, DaimlerChrysler will take a 34 per cent stake in Mitsubishi, which will give it the power to veto board decisions under Japanese law.
The deal, which will cost DaimlerChrysler 2.1 billion euros, will lead to co-operation in designing, manufacturing and selling passenger cars and light commercial vehicles.
DaimlerChrysler has long been aiming to get into the lucrative Asian market, which is expected to grow by 8-10 per cent this year alone according to industry sources.
------------------
Ciaran Moran.
ciaran@eForecourt.com