May 13, 1998
Nissan and Daimler-Benz Reach License Agreement
OKYO -- One day after announcing it was discussing "business tie-ups" with Daimler-Benz AG,
Nissan Motor Co. said it would license pickup truck manufacturing technology to the German
industrial giant, which shocked the world last week with a deal to acquire Chrysler Corp.
Daimler will use the technology, which helps produce Nissan Motor's Datsun pickup trucks, at
Daimler's Brazil manufacturing plant, the Japanese company said.
The two companies confirmed Monday that they were talking about business ventures and about
Daimler's possible purchase of a large portion of Nissan Motor's 39.8 percent stake in the Nissan
Diesel Motor Company. Nissan Diesel is Japan's fourth-largest truck manufacturer and one of the
biggest affiliates in the Nissan group of companies. The purchase of a controlling stake in a Japanese
vehicle manufacturer would give Daimler the toehold in Asia it seems to want. But the purchase of a
Nissan Diesel stake means Daimler would assume part of the company's debt burden, estimated at
170 billion yen, or about $1.28 billion.
Debt is one reason Ford Motor Co. has not acquired a bigger stake in Mazda Motors Corp., Japan's
fifth-largest auto maker. Ford's chairman, Alex Trotman, has said that Ford, which owns 33.4 percent
of Mazda, would like to increase its position but not unless Sumitomo Bank, Mazda's biggest lender,
agreed to write off some of the car maker's debt. |
