Japanese publication Nikkei reports Nissan’s headquarters in Yokohama, Japan is one of the assets the brand may sell off, as it prepares to shutter seven plants globally.
According to the report, the site is estimated to be worth approximately ¥100 billion ($1.08 billion), having been built relatively recently in the late 2000s when Nissan relocated from Tokyo to Yokohama.
While it’s not yet known if Nissan would continue to occupy the building on a lease arrangement or vacate it, the potential ¥100 billion cash injection would make a dent on its current financial situation.
As reported earlier this month, Nissan announced a net loss of ¥670.9 billion (A$7.1 billion) throughout the 2024 Japanese financial year (April 2024 to March 2025), a staggering loss of ¥1.097 trillion (A$11.5 billion) compared to the financial year prior.
While Nissan had previously said that it would lay off 9000 employees and close three factories to stem the flow of cash being burned, new CEO Ivan Espinosa now says seven factories will be closed, and 20,000 members of its 133,000-strong workforce will be made redundant.
These changes will occur by March 2028, and are projected to lead to a cost reduction of ¥250 billion (A$2.62 billion) and lead to fixed and variable cost savings of ¥250 billion (A$5.24 billion) compared to last financial year.
In announcing the Re:Nissan recovery plan, Espinosa detailed a product roadmap until March 2027, however the carmaker is pulling resources from working on later projects to focus on its immediate future.
Nissan is due to launch the new Patrol, a new Navara, the third-generation Leaf electric vehicle, the Ariya electric SUV and a hybrid Qashqai e-Power in Australia by March 2027, however with the brand’s future in question, it’s unclear what will happen beyond then.
Though much of the announcement focused on the seriousness of Nissan’s financial situation, the carmaker touched on a handful of upcoming models which will be at the core of its focus on cutting development times.
These include an all-new Nissan Skyline, a mid-sized SUV for global markets, and a small SUV for its Infiniti luxury brand.
The past few weeks have capped off a whirlwind year for Nissan, which in December signed a memorandum of understanding with Honda – as well as Alliance partner Mitsubishi – to explore a merger.
It never eventuated and fell over in the subsequent months, with much of the blame being on Nissan for expected to be treated as an equal to Honda, despite not having its affairs in order.
While Nissan has since replaced its CEO, its financial statement earlier this month shows what a dire position the brand is in.
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