Ford to sell Mazda stake

by GD Tue 18 Nov 2008, 6:54 pm

Tuesday, 18 November 2008

Ford to sell Mazda stake Ford%20logo%20large

Ford has announced it intends to sell 20 per cent of its 33.4 per cent stake in Mazda.

The move will see the US carmaker reduce its share in the Japanese brand to just 13 per cent.

A number of buyers are reportedly interested in acquiring the stake, including trading houses Sumitomo and Itochu, several Japanese insurance companies, car parts maker Denso and Mazda itself.

The possibility of a sale was raised over a month ago, when Ford's holding was valued at $850m (£567m).

Despite a 6.4 per cent rise in Mazda's share price following the announcement, that same stake is worth $543m.

Ford's decision to cash in its investment arrives just a day after a similar move by General Motors, which is to sell the entirety of its 3 per cent share in Suzuki.

Both American manufacturers are selling off their Asian investments in an attempt to raise much-need cash.

The Big Boys are in trouble...

by Digger Tue 18 Nov 2008, 7:17 pm

Its hitting everyone... Scary stuff.

Ford to sell Mazda stake

Ford to sell Mazda stake

Re: Ford to sell Mazda stake