Ford cuts Mazda stake

FORD has divested most of its remaining interest in Mazda, but is still one of the Japanese car-maker’s largest shareholders with an ownership stake of 3.5 per cent.

The US auto giant announced it would reduce its 11 per cent share of Mazda yesterday (November 18) by transferring 7.5 per cent to Mazda’s existing business partners via off-auction trading through the Tokyo stock exchange.

Ford said it expected that process, which should earn the company about $US35 million, to be completed by today, allowing it to “increase flexibility as it continues to pursue growth in key emerging markets”.

Ford’s latest sell-down of Mazda shares follows a 20 per cent reduction in its ownership of Mazda – from 33.4 to a still-dominant 13 per cent – in November 2008.

As they did then, both Ford and Mazda stressed the latest shareholding shift will have no bearing the companies’ strategic partnership, which dates back more than three decades and has most recently produced the co-developed Ranger/BT-50 utilities and Fiesta/Mazda2 light-cars.

“Ford will remain one of Mazda’s largest shareholders with a 3.5 per cent stake, and both companies are committed to continuing our strategic partnership which spans over 30 years,” said Mazda’s representative director and chairman of the board, president and CEO, Takashi Yamanouchi.

“Mazda and Ford will continue to collaborate on areas of mutual benefit such as key joint-ventures, joint projects and exchange of technology information.”Similarly, Ford said it will continue to co-operate with Mazda in areas of mutual benefit, including key joint-ventures and exchange of technology information.