Selling your classic car? It's FREE to list your car on Honest John Classics | No thanks

Honda Threatens to End Rover Tie

7 February 1994

NEW YORK TIMES
Published: Monday, February 7, 1994

The Honda Motor Company has threatened to pull out of its partnership with Rover if Rover ceases to be a British company after BMW buys a big stake in it. Honda's president and chief executive, Nobuhiko Kawamoto, said in a BBC television interview today that his company, which owns 20 percent of Rover, would not be interested in a relationship with Rover if it were controlled by BMW.

Last week, BMW paid about $1.2 billion for an 80 percent stake in the company, the last large British-owned car maker. Honda, which had been seeking to double its 20 percent stake, was said to have been furious about the deal at first. But it said later that it was willing to talk with BMW.

The chairman of BMW, Bernd Pischetsrieder, minimized the threat, saying his company was eager for Rover and Honda to continue their relationship. "We are all businessmen, and we are all responsible for our shareholders' money," he said.

Asked what it would mean if Honda walked away, Mr. Pischetsrieder replied, "I think it would mean, for Rover as well as for Honda, tremendous losses and I think it would be irresponsible to accept this."

More news from the archive

Fri, 28 Jan 1994
ROVER Chairman George Simpson arrives back at Heathrow at 4pm and meets British Aerospace chairman Dick Evans and Finance Director...
Sat, 29 Jan 1994
ROVER/BMW  George Simpson and Bernd Pischetsrieder fly to Birmingham to Rover's HQ and then on to British Aerospaces HQ at Farnborough.
Tue, 01 Feb 1994
The Rover Takeover: Factory staff shed few tears over ownership: The Workers STEPHEN WARD Tuesday, 1 February 1994 TONY HALLATT,...
Thu, 03 Feb 1994
THE INDEPENDENT MICHAEL HARRISON, Industrial Editor Thursday, 3 February 1994 HONDA is expected to decide early next week whether...
Sun, 06 Feb 1994
THE INDEPENDENT JOHN EISENHAMMER and DAVID BOWEN Sunday, 6 February 1994 BMW plans to move quickly to reduce Rover's dependence on...
Thu, 10 Feb 1994
MICHAEL HARRISON, Industrial Editor Thursday, 10 February 1994 THE GERMAN car manufacturer BMW, which bought Rover last week for £800m,...
Mon, 14 Feb 1994
BUSINESS WEEK International Business It was the closest relationship between any Japanese and European carmaker. It began with a modest...
Mon, 21 Feb 1994
ROVER Honda announces it will relinquish its 20 % stake in the Rover Group requiring the latter to relinquish its 20 % stake in the...
Tue, 22 Feb 1994
View from City Road: Jilted bride prepares for future without Rover THE INDEPENDENT Tokyo, 21 February: BMW man emerges smiling...
Wed, 09 Mar 1994
THE INDEPENDENT Honda threat to axe Rover licences: Michael Harrison at the Geneva Motor Show on a Japanese warning that could devastate...
 

Compare classic car insurance quotes and buy online. A friendly service offering access to a range of policies and benefits.

Get a quote