Overview

• The bond package includes ¥150 billion in convertible bonds for EV and software development and ¥600 billion in straight bonds earmarked mainly for repayment of fiscal 2025 redemptions.
• Nissan faces ¥600 billion in bond maturities next year after prolonged auto sales weakness drained cash reserves.
• Convertible bonds are aimed at funding Nissan’s electrification push, underscoring its strategy to accelerate EV rollout and in-house software capabilities.
• Discussions with Hon Hai Precision Industry (Foxconn) would see the contract manufacturer produce EVs at idled Japanese plants, though some Nissan executives question Foxconn’s commitment to domestic supply chains.
• Investor confidence faltered on July 7 as Nissan shares closed down 4.9% in Tokyo trading following the funding and partnership announcement.