The Renault-Nissan (PA:RENA) (T:7201) alliance pledged on Friday to double savings from closer integration to 10 billion euros ($11.9 billion) by 2022, thanks in part to increasing cooperation with recently acquired Mitsubishi Motors (T:7211).
Alliance Chairman Carlos Ghosn has pledged to step up the pace of integration after Nissan took a controlling stake in Mitsubishi last year. The 18-year-old Renault-Nissan pairing has only recently begun rolling out cars on common architectures.
Combined sales volumes are expected to rise to 14 million vehicles by 2022 from 10.5 million expected this year, with revenue advancing by a third to $240 billion, the alliance said in a statement.
By Laurence Frost and Gilles Guillaume
Bain Capital, now in the lead to buy Toshiba Corp’s prized memory chip unit, said on Friday it has brought in Dell Inc and other tech firms as new members of its consortium to bolster its bid.
Toshiba said this week it has agreed to focus on selling the world’s No. 2 NAND producer to a group led by Bain and South Korean chipmaker SK Hynix Inc but it did not rule out a deal with other suitors including Western Digital (NASDAQ:WDC).
Sources have said that the Bain group also included Apple Inc (NASDAQ:AAPL) and the offer was worth 2.4 trillion yen ($22 billion), including a 200 billion yen investment in infrastructure.
The Bank of England might need to raise interest rates in the coming months, according to the rate-setter who was previously most strongly in favour of keeping borrowing costs at their record low.
The comments from Gertjan Vlieghe on Friday came a day after the BoE said a majority of its nine policymakers believed a rate hike in the coming months was likely, if inflation pressure continued to build in the economy.
Investors took the comments from Vlieghe – who as recently as July warned against a premature rate hike – as a sign that the BoE was moving as a whole towards its first increase in borrowing costs in more than a decade.
Sterling, which jumped on the BoE’s announcement, climbed further after Vlieghe’s comments on Friday, hitting $1.35 for the first time in 14 months.
Yields on two-year British government bonds hit their highest level since last year’s Brexit vote.
By David Milliken
The dollar slipped lower against other major currencies on Friday, as markets awaited the release of additional U.S. economic reports due later in the day and as geopolitical tensions re-emerged following a new missile test by North Korea.
USD/JPY was up 0.48% at 110.78, while USD/CHF fell 0.19% to trade at 0.9610.
The yen hit a seven-week high against the dollar late Thursday, following news North Korea fired a missile over Japan into the Pacific Ocean. It was the peninsula’s second missile launch over Japanese territory in just over two weeks.
Japan reacted by saying that Pyongyang has “no bright future” and called for an emergency meeting of the U.N. security council.