Honda says it has no plans to separate and list motorcycle business

TOKYO (Reuters) – Japan’s Honda Motor Co Ltd has no plans to spin off its electric motorcycle business and take it public, the Japanese automaker said on Wednesday, following a report press release that the idea was being considered.

Honda, which dominates the global motorcycle market, announced on Tuesday that it will launch more than 10 electric motorcycle models worldwide over the next three years, in a bid to achieve carbon neutrality for two-wheelers. here the 2040s. [inL1N30K03K]

The Wall Street Journal, citing CEO Yoshihige Nomura, later reported that Honda was considering going public with the electric motorcycle unit.

“Electrification is a long road and we are discussing a variety of options without ruling anything out. However, we do not intend to separate the electric two-wheeler business into a new business unit that will be listed in the stock market,” Honda said. in a report.

Honda faces challenges in switching to electric propulsion as motorcycles are popular in developing countries and switching to the new form of propulsion could raise prices for cost-conscious consumers. It can also make motorcycles heavier.

(Reporting by Maki Shiraki; Writing by David Dolan; Editing by Christian Schmollinger and Bradley Perrett)