Mexican Media Brands
Toyota Plans Special Share Sale to Fund R&D
Toyota Motor Corp. expects to sell as many as 150 million new "Model AA" shares to help fund new vehicle technologies, including fuel cell systems, Bloomberg News reports.
#economics
Share
Toyota Motor Corp. expects to sell as many as 150 million new "Model AA" shares to help fund new vehicle technologies, including fuel cell systems, Bloomberg News reports.
The unlisted shares are named after the company's first car. They eventually will replace as much as 500 billion yen ($4.2 billion) in common stock and sell at a premium of 20% or more.
Toyota says the special stock will pay dividends but carry transfer restrictions for about five years. After that period, holders may sell their shares back to the company at the original issue price or convert them into common shares.
Analysts say the scheme aims to lock in long-term funding and help stabilize individual investors. Toyota plans to sell about 50 million Model AA shares this summer. Future blocks of the stock will be offered once per year.
RELATED CONTENT
-
Engineering the 2019 Jeep Cherokee
The Jeep Cherokee, which was launched in its current manifestation as a model year 2014 vehicle, and which has just undergone a major refresh for MY 2019, is nothing if not a solid success.
-
Choosing the Right Fasteners for Automotive
PennEngineering makes hundreds of different fasteners for the automotive industry with standard and custom products as well as automated assembly solutions. Discover how they’re used and how to select the right one. (Sponsored Content)
-
On Fuel Cells, Battery Enclosures, and Lucid Air
A skateboard for fuel cells, building a better battery enclosure, what ADAS does, a big engine for boats, the curious case of lean production, what drivers think, and why Lucid is remarkable
