Toyota to buy GM's Fuji Heavy Industry shares

NYSpeed Automotive
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Oct 5 (Reuters)

Toyota Motor Corp. (7203.T: Quote, Profile, Research) will buy shares in Japanese auto maker Fuji Heavy Industries Ltd. (7270.T: Quote, Profile, Research) from General Motors Corp. (GM.N: Quote, Profile, Research), Japanese national broadcaster NHK reported on Wednesday.
The report came minutes after Toyota said it would hold a news conference to announce a basic agreement between it and Subaru car maker Fuji Heavy on a business tie-up. The two companies will jointly brief the press at 6:30 p.m. (0930 GMT) in Tokyo, Toyota said. Fuji Heavy President Kyoji Takenaka and Toyota Executive Vice President Mitsuo Kinoshita will attend.

GM owns 20 percent of Fuji Heavy.

[http://today.reuters.com/investing/financeArticle.aspx?type=mergersNews&storyID=2005-10-05T064647Z_01_TKV002217_RTRIDST_0_AUTOS-TOYOTA-FUJIHEAVY.XMLTOKYO](http://today.reuters.com/investing/financeArticle.aspx?type=mergersNews&storyID=2005-10-05T064647Z_01_TKV002217_RTRIDST_0_AUTOS-TOYOTA-FUJIHEAVY.XMLTOKYO)

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:gotme:

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Fuji is the parent company of Suburu. :shrug:

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I got that from the reading, but I’m not sure whats going to happen… was hoping you had some insight.

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Well GM isn’t going to be able to make more Saaburus. Which is sad, because once again they’ll be based on Opels that nobody really enjoys driving.

But I wonder why GM is selling off their shares.

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No more Saab 9-2X I guess.

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In before Honda buys up some stock in Mitsubishi Motor company :smiley:

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I don’t think Honda would. They’re very small, actually.

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Damn, I was hoping if anything GM would increase their stake so eventually Suby would be included in GM employee deals. Wouldn’t mind owning a WRX or STi for the daily driver.

The Saabaru was a hell of a bargain too. $19,xxx with employee pricing when they had it.

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Yeah they were going for 19,700 from what i heard. That is an amazing price for a car=wrx

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wtf

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Yep. And therefore no more GM discount on a “Subaru” through that route…

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Toyota Motor Corporation will purchase 68 million shares, or approximately 8.7 percent, and GM is selling back the other 11.3 to FHI.

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So will this have anything to do with what cars Toyota is making in the future? Or are they just buying share for the hell of it? I hope we dont have somthing like Geo Corolla again…

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OT: why do you have negative karma :frowning:

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I called Kingsario a cockblocker…

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apparently speculation is that GM is hurting financially and they’re just trying to dump some assets at a fair market rate…

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I think GM wanted to turn over some cash since they forsee poor 3Q earnings. We’ll find out soon.

Rumor I heard is Toyota bought Suby because Suby has a patent on some advanced battery technologies, and Toyota wants to work that into their next generation hybrids. Could be interesting.

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AWD toyotas for Teh win

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“The New Scion tC. Available with Suburu All Wheel Drive” does have its possibilities.