Nissan mulls sale of headquarters in Yokohama
Nissan Motor Co. is considering selling its headquarters building in Yokohama, south of Tokyo, it was learned Friday.
The value of the building is believed to exceed 100 billion yen. The struggling automaker plans to use proceeds from the sale to cover costs associated with its planned closure of seven plants around the world by fiscal 2027.
Nissan may continue using the building by concluding a lease contract with the buyer, informed sources said.
At a briefing session for analysts on May 13, Nissan Motor President and CEO Ivan Espinosa said that the company could face additional restructuring costs of 60 billion yen, according to questions and answers from the session that were released on Friday.
Espinosa added that the company plans to cover the additional costs by selling assets, but did not specify which ones.
Nissan plunged into a consolidated net loss of 670.8 billion yen in fiscal 2024, due to sluggish sales in China and the United States.
The company aims to achieve an operating profit from its automotive business in fiscal 2026 by taking drastic restructuring measures and launching new vehicle models.
Still, whether Nissan can achieve a turnaround as planned is uncertain, partly due to the potentially long-lasting impact of U.S. President Donald Trump's tariffs.
[Copyright The Jiji Press, Ltd.]
Photo by Reuters
