William Maley
Editor/Reporter - CheersandGears.com
February 22, 2012
As we reported last week, Mazda isn’t doing so well. The company posted a $1.29 loss for 2011. To sure up its finances, Mazda is looking to raise 100 billion yen ($1.3 billion) through a public share offering, which would dilute the current share value by a massive 38.7%. Mazda will also seek loans of 70 billion yen from a number of Japanese banks.
The monies would be used to bolster Mazda's overseas production facilities. Currently, 70% of Mazda vehicles are produced in Japan and 90% of those are exported. To fight back at rising yen (which is causing many problems for Mazda), they looking to renovate a plant in Thailand and build a new one on Mexico.
The question remains if these moves will help Mazda keep its independence.
Source: Reuters
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Mazda News: Mazda Looking To Raise $2 Billion
Started by mudmonster, Feb 22 2012 09:51 AM
9 replies to this topic
#2
dfelt
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Posted 22 February 2012 - 10:51 AM
Mazda cannot survive on it's own, this was why Ford became a majority owner and now that Ford wants to focus on it's core business, it cut loose those things that distract it and bring limited value to their core business.
Mazda will be gone I predict in the next 2-3 years. This is a company that has intellectual property to sell but otherwise really could go away just like SAAB and other auto companies/divisions over the past few years.
Mazda will be gone I predict in the next 2-3 years. This is a company that has intellectual property to sell but otherwise really could go away just like SAAB and other auto companies/divisions over the past few years.
#4
dfelt
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Posted 23 February 2012 - 01:24 AM
I want to see them make it....hopefully they do.
WHY? What does Mazda have to offer other than their old Rotory motor technology. Everything else you can get from other auto makers in much better style and quality.
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