Badly! Ford To Sell 20% Shares of Mazda
American Cars January 28th, 2011
Los Angeles – America’s automakers, Ford Motor Co. (Ford) was eventually forced to sell 20% stake in Japanese company Mazda Motor Corp. to boost its cash funds.
Shares purchased by the group’s expected trading house and insurance companies, as well as car parts supplier Denso Corp., as expressed by a source within Ford on Tuesday (18/11).
Nikkei newspaper wrote the fifth largest Japanese car manufacturer Mazda is the possibility of buying some shares sold by Ford, which currently is the largest shareholder in the Japanese car maker with 33.4 percent share.
20 percent of the shares worth about 50 billion yen (U.S. $ 515 million) based on stock prices Tuesday.
Tanaka Mazda Toyota spokesman said he could not confirm the report.
Ford investing in Mazda for the first time in 1979 and increased its share to 33.4 percent in 1996 when Mazda’s business declined.
The two companies then took profits from the joint development of compact cars that Mazda restore its financial health.
But then, it is Ford who lost U.S. $ 129 million in the third quarter of this year, and was reduced 10 percent of his work.
United States car manufacturers are currently trying to seek help from the government to solve their financial problems
