Toyota chair proposes $42bn buyout deal for carmaker’s biggest subsidiary

Toyota Industries weighs going private with $42bn group-backed fund

NAGOYA, Japan -- Japanese machine maker and Toyota Motor parts supplier Toyota Industries is exploring going private under a special purpose company t

Toyota chair proposes $42bn buyout deal for carmaker’s biggest subsidiary

Japanese company has come under investor pressure to simplify its web of interconnected companies

Toyota chairman proposes US$42bil acquisition of Toyota Industries

TOKYO: Toyota Motor Chairman Akio Toyoda has proposed acquiring supplier Toyota Industries in a possible 6 trillion yen (US$42 billion) deal, Bloomberg News reported on Friday, in what would mark a pivotal buyout for Japan Inc and reshape its most powerful corporate group. © New Straits Times Press (M) Bhd

Toyota pushes for massive $42B parts supplier buy

Akio Toyoda | Chris McGrath via Getty ImagesKeeping a global powerhouse of automotive manufacturing like Toyota moving requires many moving parts. In many cases, it means parts suppliers. The automaker’s chairman and former CEO, Akio Toyoda, wants to tighten things up by acquiring one of its heavily relied-upon suppliers. But it’ll cost Toyota quite a bit of cash to pull it off.  Toyota Chairman Akio Toyoda pushes for a record buyout of parts su…

In recent years, the company has faced increasing pressure from investors to simplify its network of interconnected shareholding, which encompasses dozens of suppliers and affiliated automakers.

Toyota is the world’s largest manufacturer of cars, with about 11 million units produced a year. But the brand’s history is quite particular and everything remains with the family. Toyota Motor Corporation’s current president is the grandson of Toyota’s founder – Kiichiro Toyoda – and, at the same time, the great-grandson of Toyota Industries’ founder Sakichi Toyoda. And the latter is a key company since, even today, it is Toyota’s main supplier…