REPORT: Mazda looking to raise $1.1B to catch up in hybrid race
2009 Mazda Tribute - Click above for high-res image gallery
According to a report from Reuters, Mazda plans to raise up to $1.1 billion (95.9 billion yen) by issuing 315.2 million new shares and selling 96.8 million treasury shares. The resulting funds are to be reinvested in the company, mainly for research and development into hybrids and other eco-friendly technologies.
So far, Mazda's only hybrid has been a version of its Tribute crossover utility vehicle, which was in reality little more than a badge-engineered version of the Ford Escape Hybrid. Last year, Ford reduced its stake in Mazda to 13.8 percent, meaning that the Japanese automaker could no longer rely on the Blue Oval for eco-friendliness and needed to make its own independent investment into new technologies.
Back in April, Mazda announced plans to boost the fuel efficiency of its fleet of cars and trucks by 30 percent, and that laudable effort will begin in 2011 with a new fuel efficient version of its bread-and-butter 2.0-liter four cylinder engine and six-speed automatic transmission. Well, now we know how all this newfangled Sustainable Zoom Zoom stuff will be paid for.
Gallery: Mazda Tribute Hybrid SUV
[Source: Reuters]
Reader Comments (Page 1 of 1)
nrb 2:02PM (10/05/2009)
Sounds like Ford isn't sharing. Interesting.
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Throwback 3:28PM (10/05/2009)
Ford no longer owns a controling interest in Mazda. They are know more competitors than cousins.
Tim 2:38PM (10/05/2009)
Selling stock in your company to volunteer investors who are hoping for the return of a profit is the proper way to raise capital. This is Capitalism.
Corporatism is using campaign "support" to bribe corrupt Politicians who are willing to FORCE taxpayers in "invest" at threat of prison if the refuse to "invest".
CAPITALISTS range from Street Vendors to the Stock Investors.
If you save up and buy a chain saw to cut wood to sell on the corner.. you are a capitalist. If you buy sewing needles and yarn to make sweaters to sell on eBay... you are a capitalist. If you start a blog to sell advertising (Sebastian)... you are a capitalist!
When you go to gov't to get taxpayer money to fund a company or lobby for special protectionist legislation, that Gov't/Business partnership gave you an unfair competitive advantage in the marketplace which makes you are Progressive Corporatist, NOT a Free Market Capitalist!
Capitalism = Individual Liberty to say NO.
Progressivism-Corporatism = Say NO to the collective and go to prison.
Good Job, Mazda. Too bad America has lost it’s way and is NOW confusing Corporatism with Capitalism.
(I wonder if this confusion is deliberate so the Progressive-Corporatists can blame Capitalism when their central planning fails so they can have MORE central planning money and power and then call it "change"?)
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paulwesterberg 2:50PM (10/05/2009)
Good luck with that Mazda, 1B is not enough to get into hybrid cars, that ship has sailed.
But if you hurry you might be able to jump on the bev bandwagon before it leaves the station.
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Laurens 3:36PM (10/05/2009)
Toyota should license it's technology. Except in the Netherlands (higher retail price of-set by massive subsidies), I doubt if they ever make money on Prius otherwise.
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3PeaceSweet 3:43PM (10/05/2009)
Still waiting for the rotary range extender....
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