Honda retreats over link with Rover

Under a new agreement, reached on Wednesday, Rover will sell back to Honda the 20 per cent stake it holds in Honda's Swindon manufacturing operation while Honda will relinquish its 20 per cent holding in Rover to BMW. The first beneficiary of the new deal will be the Rover 600 which is produced...

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Bibliographic Details
Published inThe Guardian (London)
Main Authors DAVID GOW IN BONN, KEVIN RAFFERTY IN TOKYO, AGENCIES
Format Newspaper Article
LanguageEnglish
Published Manchester (UK) Guardian News & Media Limited 20.05.1994
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Summary:Under a new agreement, reached on Wednesday, Rover will sell back to Honda the 20 per cent stake it holds in Honda's Swindon manufacturing operation while Honda will relinquish its 20 per cent holding in Rover to BMW. The first beneficiary of the new deal will be the Rover 600 which is produced at Cowley, near Oxford. One of the many models on which the two companies had worked together, the 600's future would have been uncertain if Honda had ended ties. The replacement for the Rover 200, built at Longbridge where Rover also produces the Honda Concerto for sale in Europe, can now also go ahead. Rover chief executive, John Towers, was delighted negotiations had been successful. "Rover has greatly valued the relationship with Honda and we are very pleased indeed that it will continue," he said.
ISSN:0261-3077