Nissan Motor exploring divesting its stake in Mitsubishi Motors

On Monday, in a news bulletin Bloomberg News stated citing anonymous sources, Nissan Motor is looking to divest some or all of its 34% stake in Mitsubishi Motors.

The move is likely to reshape Nissan Motor’s three-way alliance which includes Renault.

With the news reaching the market, Nissan’s shares rose by 5%.

“There are no plans to change the capital structure with Mitsubishi,” said a Nissan’s spokeswoman.

A spokesman for Mitsubishi Motors mirrored Nissan spokeswoman’s statement and added it would continue to collaborate within the alliance.

Renault did not immediately respond to requests for comments.

Last week, Nissan, where Renault has a 43% stake, cut its operating loss forecast by 28% for the year ending on March 31, due to a rebound in demand coming from China.

Japan’s Mitsubishi Motors is scheduled to post an operating loss of 140 billion yen for its financial year.

Both companies are trimming costs and managing production levels to return to profitability.

($1 = 104.5300 yen)

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