Nissan has pulled the plug on a $1 billion deal to sell its electric-battery arm to a Chinese business after the buyer disclosed it could not raise the required funds.
Chinese private-equity firm GSR Capital was given the deadline of June 29th to confirm it could move forward with the deal after postponing the closing date three times. According to Bloomberg, the deal would have been the largest lithium-ion battery manufacturing transaction in history.
Nissan has struggled to find a buyer for its non-cutting-edge electric-battery arm, the proceeds of which would go towards the automaker’s next-generation technologies such as autonomous cars. After the sale, Nissan would transition to buying all of its batteries from cheaper Chinese suppliers.