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Nissan's stock surges after GM alliance talks called off

Nissan's stock surges after GM alliance talks called off

Nissan's shares surged Thursday as investors reacted with relief to news that General Motors called off talks on possibly creating a three-way alliance with Nissan Motor Co. and partner Renault SA of France.
The three-month-long talks came undone as Renault and Nissan declined to pay a premium for reaping what GM said would have been a disproportionate share of the benefits, according to a joint statement issued by the companies.
"We've somewhat expected the outcome so we just take it as is," Nissan Chief Operating Officer Toshiyuki Shiga told public broadcaster NHK. "A deal like this is difficult unless each participant is positive about an alliance as a benefit."
Nissan's stock jumped on the news, climbing 2.56 percent to 1,357 yen (US$11.53;


Updated : 2020-12-01 14:07 GMT+08:00