GM sells Subaru shares to Toyota

General Motors is selling it’s 20% stake in Fuji Heavy Industries at significant loss at about USD$ 735 million, compared to the USD$ 1.3 billion it paid in the year 2000.



Fuji Heavy Industries owns Subaru. GM says the partnership did not result in enough collaboration to justify the cost so it’s taking it’s money to invest somewhere else.

Of the 20% stake on the market now, Toyota confirmed it will buy up 8.7% which is 68 million shares. General Motors will sell the remaining 11.3% either back to Fuji Heavy Industries or put it on the open market.

Joint-car development projects between General Motors brands and Subaru will be discontinued. GM’s Saab had plans for a cross-over SUV based on the Subaru B9 Tribeca but the project is now scapped. However Subaru will continue building the Saab 9-2x which is based on the Subaru Impreza wagon.

Toyota is likely eyeing Subaru’s all-wheel drive technology.

Source: Detroit Free Press

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Paul Tan

After dabbling for years in the IT industry, Paul Tan initially began this site as a general blog covering various topics of personal interest. With an increasing number of readers paying rapt attention to the motoring stories, one thing led to another and the rest, as they say, is history.

 

Comments

  • foxtrotecho on Oct 07, 2005 at 3:41 am

    w00t ?

    TRD – Toyota Racing Development

    STI – Subaru Tecnica International

    TRD + STI = ?

    Toyota Subaru Racing Tecnica Development International ?

    TSRTDI !

    Lols

    Like or Dislike: Thumb up 0 Thumb down 0
  • macspeed on Oct 07, 2005 at 4:20 am

    if a company buys a another company is it necessary to combine them both ah?

    how bout renault n nissan…nismo becomes nissault? NISSAN + RENAULT?

    how bout volkswagen, audi, lamborghini n skoda n seat…all under one parent company which is VW…..do they combine names…..?????

    how bout ford n volvo? becomes fordo? as in the LOrd of the rings guy……

    they will share expertise and parts but sharing names will not happen……forever..

    Like or Dislike: Thumb up 0 Thumb down 0
  • macspeed on Oct 07, 2005 at 4:21 am

    i mean combining names…….

    Like or Dislike: Thumb up 0 Thumb down 0
  • Cyrus on Oct 07, 2005 at 5:50 am

    hahaaa, macspeed, i think foxtrotecho is joking only ~~ need not to be so strict ~~ however.. Subaru is really doing good wit it's car such as Legacy, wagon, and of course its WRX & WRX STi..

    just share some real life experience wit u guys. 2 months ago my friend fetch me wit his 2.5Turbo Legacy, he suddenly push on the accelerator and moving straight to the TINY roundabout, my whole body was sticked wit the sofa, he take a 12 o'clock turn wit a speed of 80-110km/h (sorry guys, cant really remember the exactly speed, cause i was shocked by his sudden crazy actions). and the car just get the turn easily ~ mates… i really hv to commend that the car is good.. acceleration and suspension are excellents.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Well, Daimler and Crysler combined their names together.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Naruto on Oct 07, 2005 at 9:55 am

    HONDA + TOYOTA = HONDAYOTA

    Like or Dislike: Thumb up 0 Thumb down 0
  • Naruto on Oct 07, 2005 at 9:56 am

    and then its logo H combine with the toyota's will look exactly like hyundai's H in a oval….lol

    Like or Dislike: Thumb up 0 Thumb down 0
  • Streamyx User on Oct 07, 2005 at 3:16 pm

    What is it with these car compoanies selling shares lately. World oil running out?

    Like or Dislike: Thumb up 0 Thumb down 0
  • DOG THE WAN on Oct 07, 2005 at 3:40 pm

    Although GM is the largest AUTOmaker on Earth but they don't make much profit compare to other like Honda & Toyota. The more company you jointed in the more expenses you have to pay for it. Every company need to lauch new models and spent a lot on R&D cost, but the market or demand still the same group of ppl. Therefore competing between themself is the biggest problems of GM. Some more they products are too American Style where Japanese or Asian ppl hate the most, big large, High fuel consumption, Ulgy interior and extrior, ……price not cheap too. Just opposite to Toyota and Japanese automakers, they are doing well in the USA nowadays. Hybrids, high performance, compact but unique interior with big space in side.

    In order to survive, GM had to fire many staffs in the USA and sell off the partner company shares to get cash back. VW is similar case.

    Therefore, BIG doesn't means STRONG and SMALL doesn't means WEAK, so who is the WINNER now.

    Like or Dislike: Thumb up 0 Thumb down 0
  • KL Lim on Oct 07, 2005 at 4:04 pm

    Proton + Perodua = Perodua

    LOL

    Like or Dislike: Thumb up 0 Thumb down 0
  • KL Lim on Oct 07, 2005 at 4:05 pm

    Proton + Perodua equal to Perodua

    LOL

    Like or Dislike: Thumb up 0 Thumb down 0
  • DOG THE WAN on Oct 07, 2005 at 4:07 pm

    KL Lim arr!"

    U got no work to DO meH!! That one ppl all knows already!!

    Like or Dislike: Thumb up 0 Thumb down 0
  • Proton + Perodua = Produa… just kick the E… you see the PREODUA on the back sticker of the Kancil people bought from kedai abang? just to let people know that this is not the original accessories? weird…

    Like or Dislike: Thumb up 0 Thumb down 0
  • DOG THE WAN on Oct 07, 2005 at 4:14 pm

    Paul,

    Read today The Star,
    http://www.thestar.com.my/news/story.asp?file=/20…

    Comments:

    ANY of you paid UNDER TABLE to get Myvi?? You can get back the cash, I hope!!

    ACA, GREAT JOBS!! I loving it!

    Like or Dislike: Thumb up 0 Thumb down 0
  • ah lim on Oct 07, 2005 at 5:46 pm

    porsche+ proton= poshton ahak ahak ahak…… lotus +proton= lontong…… ahak ahak ahak…… porsche+lotus+proton=POLOTON….. ahak ahak ahak

    Like or Dislike: Thumb up 0 Thumb down 0
  • leuco on Oct 07, 2005 at 6:16 pm

    Aiyaa ah lim, name is not importent laa ,,design creation,quality & durability is most importent you..

    Like or Dislike: Thumb up 0 Thumb down 0
  • neurra on Oct 07, 2005 at 6:40 pm

    haha i know who will survive first if oil depleted.. Smart and Honda! so they'll combine too n become daSmartass

    Like or Dislike: Thumb up 0 Thumb down 0
  • rainbow7j on Oct 07, 2005 at 9:47 pm

    sigh

    *me back to work to save for my first WRX

    Like or Dislike: Thumb up 0 Thumb down 0
  • bmpower (Member) on Apr 08, 2008 at 11:12 am

    herm….
    toyotanization

    Like or Dislike: Thumb up 0 Thumb down 0
 

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