GM to sell most of Isuzu stake, says report

TOKYO - General Motors plans to sell most of its 7.9 per cent stake in Isuzu Motors, and Mitsubishi and Itochu may buy the holdings, the Nihon Keizai business daily said yesterday.
The struggling US car giant has told the Japanese truck-maker of its intention to sell, the newspaper said. GM holds about 90 million shares in Isuzu, worth some 38 billion ($536 million).

GM may keep a small stake in Isuzu and the two firms plan to continue supplying trucks to each other, the report said.

GM's sale of most of its stake in Japanese car maker Suzuki Motor earlier this month raised speculation of a sale of its Isuzu holdings. But Troy Clarke, president of GM's Asia-Pacific operations, said at the time the US car-maker had no plans to sell its stake in Isuzu, saying the two have many beneficial projects.

GM last year sold its entire 20 per cent stake in another Japanese car-maker, Fuji Heavy.

- REUTERS