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Join Date: Feb 2007
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Mazda seeks $2.8bn from Japanese banks
QUOTE - May 9, 2020 -
TOKYO/HIROSHIMA -- Mazda Motor has requested 300 billion yen ($2.8 billion) in financing from Japan's three megabanks and other institutions as it braces for further fallout from the coronavirus pandemic, and part of the loan has already been provided, Nikkei learned on Saturday.
The outbreak has caused demand to plunge, triggering shutdowns of the carmaker's plants in Japan and North America.
The carmaker was already struggling with weak sales before the pandemic, and its cash flow has turned negative. It plans to use the financing to build up its cash reserves.
It has requested loans from the megabanks -- MUFG Bank, Sumitomo Mitsui Banking and Mizuho Bank -- as well as from the government-owned Development Bank of Japan and Sumitomo Mitsui Trust Bank.
The banks are expected to provide the financing. - UNQUOTE