Subaru Corporation has acquired a 0.3% stake in Toyota Motor Corporation for JPY70 billion (US$675m), as part of a reciprocal capital tie-up agreement signed by the two companies in 2019.
The two partners originally came together in 2005 to collaborate in product sharing and have since jointly developed a sports car sold as the Toyota 86 and Subaru BRX.
The more recent agreement, based on a capital tie-up, was designed to deepen R&D and manufacturing collaboration between the two.
Toyota increased its stake in Subaru to 20% in 2019, making it an equity affiliate with earnings incorporated in its consolidated financial statements.
The pair have since agreed to collaborate in the development of a range of new technology, from autonomous driving to electric vehicles, including the launch of a jointly developed battery-powered SUV to be sold under their respective brands in the US from the mid-2020s.