Ford is selling 20 percent of its stake in Japanese carmaker, Mazda, but says the two companies will continue their strategic relationship which includes jointly developing vehicle platforms and powertrains
Ford will remain Mazda’s largest shareholder and will retain a seat on the Mazda board.
Ford says the move is in line with its plan to strengthen its balance sheet and ensure it can implement its product-led transformation plan focusing on the Ford brand.
It’s reducing its stake in Mazda from 33.4 percent to just over 13 percent, and the sale will net Ford around $US540 million. Ford will sell its shares to Mazda and to a group of Mazda’s strategic business partners.
Ford CEO, Alan Mullaly, says the move will “raise capital that will help fund our product-led transformation. Ford will continue to focus on the Ford brand worldwide and deliver the products our customers really want and value.”
Ford and Mazda will continue their joint ventures, as well as sharing vehicle platforms and powertrains.
Mazda boss, Hisakazu Imaki, says the sale won’t result in any change in Mazda’s strategic direction.
“We will continue to accelerate our product-led brand improvement and cost innovation initiatives. We will continue our strategic relationship through our ongoing joint ventures with Ford, as well as the sharing of platforms and powertrains.”