Delhi Delhi. The land of the rising sun, Japan, is also the land of many major players in the automobile industry. Apart from being home to many prominent names, it is also home to Toyota, the world's largest car manufacturer. Two other major companies made headlines recently when reports emerged that Nissan and Honda are in talks to merge their companies to create one larger company. According to some reports, if it merges, the end result will be that it will become the fourth largest auto company in the world. It will also compete with the world's largest automaker and their Japanese counterpart Toyota.
Other major forces in the automobile market are Germany's Volkswagen Group, multinational Stellantis and Korea's Hyundai. This development has caused a major stir in Japan's equity markets. Both Honda and Nissan are listed on Japanese stock exchanges in Tokyo. Looks like this is some good news for Nissan. Shares of the carmaker surged a massive 23.70 percent or JPY 80, touching the upper circuit on the deal. This brought the total value of the company's shares to JPY 418. The company's shares had previously closed at JPY 338 per share. Meanwhile, Honda, the other party involved in the merger, was a different story. The makers of popular Honda City and Accord saw a decline in their share prices.
Comments are closed.