Nissan to add stakes in two Thai JVs

Nissan to add stakes in two Thai JVs

TOKYO: Major Japanese automaker Nissan Motor Co. plans to acquire controlling stakes in two Thai joint ventures to boost Southeast Asian sales, a report said on Saturday.

Nissan, which is controlled by Renault SA of France, has reached or is close to reaching a basic agreement with its joint venture partner Siam Motors group, the Nihon Keizai Shimbun newspaper said.

Nissan president Carlos Ghosn will make a formal announcement on Monday at a news conference in Bangkok, it said.

The deal involves Siam Nissan Automobile Co., which produces light pickup trucks, and Siam Motors and Nissan Co., which makes subcompact and midsize passenger cars, the newspaper said.

The two plants serve as Nissan's export bases for the Southeast Asian market, it said.

Nissan plans to acquire new shares to be issued privately by the two firms later this year to raise its stakes from about 25 percent to at least 75 percent to turn both into subsidiaries, the Nihon Keizai said. -- AFP