Zimmer automaker to sell $7.2bn worth of vehicles, but no release date yet
Zimmer Automakers is planning to sell its cars and trucks business to its former rival, Subaru, according to the Wall Street Journal.
The car maker will also acquire Subaru’s automotive shipping division.
The move comes after Subaru reported a loss of $4.4bn in the first quarter of 2018, a significant drop from the $9bn in revenue it posted a year earlier.
A spokesperson for the automaker said it was a strategic decision to sell the car-shipping business and that no final date has been set for its purchase.
The spokesperson also confirmed the acquisition would not affect its plans to create its own brand in the automotive space.
Zimmer has been in talks with its former business partner about a potential merger with Subaru, the WSJ said.
ZM, which has about 2,200 employees in Australia, is planning its next car, the Axon 7, with its Australian rival.
It will be the company’s first production car and the first to have a full-blown engine.