Suzuki Sells Its 1.5% in VW to Porsche SE

Suzuki Motor Corp. reports its has sold its 1.5% equity in Volkswagen AG to Porsche Automobil Holding SE.

The transaction is expected to be completed on Sept. 30. The sale will increase Porsche SE's stake in VW to 52.2% and generate a special profit of 36.7 billion yen ($304 million) for Suzuki.

The equity sale unwinds a spectacularly unsuccessful partnership launched in 2007 between Suzuki and VW. The companies had planned to swap diesel and small-car know-how, but they failed to complete a single project. By 2011 Suzuki declared it wanted a "divorce" from the contentious alliance, but VW refused.

Last month VW was ordered by an international arbitration court to shed its 19.9% stake in Suzuki. The Japanese carmaker bought back the shares earlier this month.