Honda sounded out Nissan about becoming a subsidiary Nissan opposed the Honda proposal – sourceNissan board meeting on Wednesday
Workers on the production line at a car factory (Owen Humphreys/PA)
Japan’s Nissan 7201.Twill call off merger talks with rival Honda 7267.T, the Nikkei newspaper said, abandoning a tie-up that would have created the world’s no.3 automaker and raising questions about how it will drive a turnaround by itself.
Shares in Nissan slid more than 4pc before trade was temporarily suspended by the Tokyo Stock Exchange following the report. Shares of Honda continued to trade and finished the day up more than 8pc, in a sign of apparent investor relief that the deal would be scrapped.
