UPDATE 1-Sumitomo in final talks for more stake in Mazda -Nikkei

Oct 22 (BestGrowthStock) – Sumitomo Corp (8053.T: ) is in the final
stages of talks to buy an additional stake in Mazda Motor Corp
(7261.T: ) from Ford Motor Co (F.N: ), the Nikkei business daily
reported.

The trading house, which holds about 0.4 percent stake in
Mazda, is expected to buy about another 1 percent in the
Japanese automaker, the paper said.

Sumitomo’s business with Mazda is estimated at nearly 100
billion yen ($1.23 billion) a year, with 50 billion yen
involving exports of Mazda vehicles to South America and
elsewhere. The rest comes from other deals, such as procurement
of steel and parts for the carmaker, the paper said.

Ford, which plans to reduce its ownership in Mazda to about
3 percent or less from the current 11 percent, approached
companies and financial institutions that have close ties with
Mazda, the Nikkei said.

Sumitomo Mitsui Banking Corp is also considering buying
Mazda shares, a move that would add to its existing 2.9 percent
stake, the business daily reported.

($1=81.12 Yen)
(Reporting by Abhinav Sharma in Bangalore; Editing by Maju
Samuel)

UPDATE 1-Sumitomo in final talks for more stake in Mazda -Nikkei