FOR IMMEDIATE RELEASE
17 May 1999
NISSAN REACHES OUTLINE AGREEMENT ON THE SALE OF ITS INDUSTRIAL MACHINERY BUSINESS
Tokyo - Nissan Motor Co., Ltd and NACCO Industries, Inc. recently reached a basic agreement on the sale of Nissan’s industrial machinery business to NACCO’s subsidiary, NACCO Materials Handling Group, Inc. (NMHG), and the latter’s affiliated companies. Nissan and NACCO will be continuing their talks in the coming weeks with the aim of reaching a final agreement concerning the closing of the transaction later this year.
In reaching this agreement, both parties have identified significant benefits. By turning its industrial machinery operations over to a specialist forklift manufacturer, Nissan intends to concentrate its resources on core automotive business, and strengthen its competitiveness. The NACCO Group plans to expand its market share in Japan and other Asian countries and anticipates improved cost competitiveness through synergies generated by an alliance with Nissan on the development of engines and other forklift technologies.
To facilitate the sale of its industrial machinery business to the NACCO Group, Nissan will spin off the business as a subsidiary and sell the latter’s stock to NACCO. Nissan’s three overseas forklift subsidiaries in Europe and the United States will also be included in this deal along with the company’s domestic forklift business. Nissan will support the NACCO Group’s future forklift business by continuing to provide engines and other forklift parts.
By adding Nissan to the existing Hyster and Yale brands, the NACCO Group will manufacture and market three lines of forklifts, becoming the world’s largest forklift manufacturer with an annual production volume of around 100,000 units. In keeping with NMHG’s ongoing operational cost-reduction initiatives, selected Nissan forklift truck activities will be integrated into the existing NMHG organisation over time.
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For further information, please contact:
Stewart McKee, Corporate Affairs Manager 01923 899936
Email: stewart.mckee@nissan.co.uk
Daniel Ward, Corporate Affairs Director 01923 899931
Email: daniel.ward@nissan.co.uk
24759/170599