Nissan Plans $7B Debt Raise, Asset Sales To Manage Looming Loan Repayment: Report

The company is looking to address a $5.6 billion debt maturity in 2026, amid expectations of a 450 billion yen operating loss.
The Nissan logo displayed on the new Nissan vehicle at the Edmonton Motor Show on April 13, 2025, in Edmonton, Alberta, Canada. (Photo by Artur Widak/NurPhoto via Getty Images)
The Nissan logo displayed on the new Nissan vehicle at the Edmonton Motor Show on April 13, 2025, in Edmonton, Alberta, Canada. (Photo by Artur Widak/NurPhoto via Getty Images)
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Deepti Sri·Stocktwits
Updated Jul 02, 2025 | 8:31 PM GMT-04
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Nissan Motor Co. is planning to raise over ¥1 trillion ($7 billion) through debt issuance and asset sales to manage a large loan repayment due next year, Bloomberg reported, citing internal documents. 

The automaker aims to issue up to ¥630 billion ($4.37 billion) in convertible bonds and high-yield notes, including a £1 billion ($1.4 billion) syndicated loan backed by UK Export Finance. 

Nissan is also exploring sales of stakes in Renault and battery maker AESC, properties in South Africa, Mexico, and the U.S., and a sale-leaseback of its Yokohama headquarters.

The company must increase its financial resources to address its ongoing economic struggles, even after CEO Ivan Espinosa implemented restructuring steps, including staff cuts and plant closures.

Given the existing tariffs, Nissan is expected to face a ¥450 billion ($3.12 billion) operating deficit for the fiscal year ending March 2026.

It holds enough cash reserves and open credit lines to sustain its business operations for 12 to 18 months.

Nissan's debt, totaling $5.6 billion, needs to be paid off next year, the most significant debt maturity amount in recent years.

Separately, Ford Motor Co. has scaled back its electric vehicle battery production to one Kentucky plant, leaving its second plant inactive, according to the Wall Street Journal. 

The two facilities, part of a $7 billion joint venture with SK On, were intended to expand Ford’s EV production capacity significantly. 

The move comes amid softer-than-expected EV demand and rising costs. 

The active Kentucky plant will produce batteries for Nissan to help avoid tariffs on imported vehicles and parts. 

Nissan Motor Co’s U.S. ADR has shed 16.31% this year, underperforming the S&P 500’s 0.9% gain.

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