DaimlerChrysler AG finalised its 34 per cent equity stake in Mitsubishi Motors Corp. Wednesday (17/10/00), writes Dow Jones (19/10/00).
The cost of the purchase – which sees DaimlerChrysler AG become Mitsubishi`s largest shareholder – totals Y202.4 billion, according to the report.
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As part of the original July 2000 agreement, Mitsubishi Motors will issue convertible bonds – Y19.2 billion in value – to DaimlerChrysler. Designed to prevent DaimlerChrysler`s stake from being diluted, these bonds could be converted to equity at any time through April 30, 2003, says Dow Jones.
Other shareholders within Mitsubishi Motors Corp. include: Mitsubishi Heavy Industries Ltd. with a 16.9 per cent stake, Capital Research and Management Co. with 6.04 per cent, Mitsubishi Corp. with a 5.27 per cent holding and Swedish car maker Volvo AB, holding 3.3 per cent.
