Hitachi Automotive Systems will set up a joint venture with Japan's Keihin Group, Japan's Showa Co., Ltd. and Nissin Industrial Co., Ltd., and Hitachi will become the main shareholder of the new company, with a stake of nearly 70%, and the rest will be held by Honda Motors. .
M & A cooperation, Hitachi Automotive Systems, Hitachi Honda cooperation, Hitachi Honda joint venture
According to foreign media reports, Hitachi Automotive Systems, a subsidiary of Hitachi Ltd., will establish a new joint venture with three Honda Automotive suppliers in Japan, and the sales of the new company are expected to reach 1.7 trillion yen (Approximately $ 15.6 billion), and is expected to become Japan's third largest auto parts supplier after Denso and Aisin Seiki.
Currently, automakers are working hard to shift to electric vehicles and autonomous driving systems. According to foreign media reports, Hitachi Automotive Systems will form a joint venture with Keihin Corp, Showa Corp, and Nissin Kogyo Co, and Hitachi will become a new company. The main shareholders hold nearly 70% of the shares, and the rest are held by Honda Motors.
Hitachi said in a statement that the company will begin discussions on the merger at its board of directors on Wednesday. Honda, Showa, Nisshin Kogyo, and Keihin each acknowledged in their statements that the four companies are considering mergers.
Hitachi has already begun to simplify its business structure, and this year it also announced the sale of its car navigation system production subsidiary Clarion.