MANILA: Toyota Motor Corporation will sell a portion of its shares in Aisin Corporation.

Per the Japanese carmaker, its current stake in the global automotive component brand is 24.8 percent. After the sale, it will be reduced to 20 percent.

The expected value of the sale was not disclosed although the planned number of shares to be sold is approximately 13.012 million.

According to a press release published by the Aichi-headquartered company, the said move follows its decision to trade a portion of its shares in Denso Corporation last year.

By liquidating some of its investment in the aforementioned brands, Toyota looks to boost capital efficiency and achieve further growth for the firm while maintaining its capital ties — that have sustained a strong relationship — with Aisin and Denso.

“Aisin will continue to strengthen the Toyota Group’s competitiveness by utilizing its wide range of hardware and software product lines and manufacturing capabilities. Toyota plans to use the generated capital to make growth investments focused on electrification, intelligence, and diversification initiatives,” the carmaker said.

Toyota noted that it also intends to carefully review its capital ties with other group companies on an individual basis, examining elements such as human resources, operations, culture, and business relationships. On that note, there could be a possibility that the car brand will also cut and sell some of its shares in its subsidiaries like Hino and Daihatsu.

Photos from Aisin and Toyota

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