Swedish car manufacturer Volvo has announced it has made a public bid for the third largest Japanese automobile brand, Nissan.
Volvo, which already has a 19 per cent holding in Nissan, has offered a total of SWK 13 billion (£900 million) for all shares.
"With Volvo as owner, Nissan diesel gains the resources and the financial stability needed to fully capitalise on the opportunities that a closer cooperation offers to both parties," said Volvo chief executive officer Leif Johansson.
Looking to the future, Mr Johansson added: "Nissan diesel holds a solid position in Japan and the rest of Asia where the Volvo group foresees substantial growth potential."
Although the offer is open until 23rd March and is dependent upon approvals from the anti-trust authorities, president of Nissan diesel Iwao Nakamura has given his approval for the merger.
"During our joint synergy study, great trust grew between the companies and I believe that the merger is the best alternative for Nissan diesel’s future," said Mr Nakamura.
Volvo also pointed to the expertise it could gain from Nissan in creating more environmentally-friendly cars.
The company said: "Nissan diesel can benefit from the Volvo group’s resources and know-how, but Volvo can also benefit greatly from Nissan diesel’s experience of medium-heavy trucks and its expertise in hybrid technology."
Digg 
Delicious 
Reddit 
StumbleUpon 
Google 
Technorati 
Netvouz