Astonishing $60 billion Honda deal abandoned

A huge merger deal between Honda, Nissan and Mitsubishi Motors has been called off, the manufacturers have confirmed.

Last December, a memorandum of understanding (MOU) was signed between the parties as part of a deal that was reportedly worth up to $60 billion.

The two Japanese manufacturers have been in negotiations ever since, which if successful, would have seen it become the third largest automotive manufacturer in the world.

However, it emerged last week that the talks had hit a snag, with Nissan allegedly having concerns over the structure of the deal. 

The collaboration has now come to an end, with the parties issuing a joint statement confirming the news.

“Nissan, Honda and Mitsubishi Motors today agreed to terminate their MOU regarding the consideration of the structure for a tripartite collaboration, in light of the termination of the MOU signed on December 23 last year regarding the consideration of a business integration between Nissan and Honda.

“Going forward, the three companies will collaborate within the framework of a strategic partnership aimed at the era of intelligence and electrified vehicles. 

“This framework was established with the MOU signed on August 1 last year, striving to create new value and maximise the corporate value of each company.”

Honda is set to return to F1 next year having exited the sport as a power unit manufacturer at the end of 2021.

The company will link up with Aston Martin and issue power units to the Silverstone-based squad as part of a new era of technical regulations.