Toyota set to take over full control of Daihatsu

Toyota Motor Corp. plans to bolster its small-car operations by spending about 389 billion yen ($4.57 billion) to take full control of Daihatsu Motor Co., which is already a Toyota subsidiary.

The move is aimed at enhancing the small car expertise of both companies. Under the deal, Toyota boss Akio Toyoda has said the Daihatsu brand will be given an "equal position with the Toyota and Lexus brands".

Daihatsu has been a subsidiary of Toyota since 1998 and the pair have worked together since the late 1960s. Toyota has agreed to buy the remainder of Daihatsu shares, and subsequently plans to delist Daihatsu from the stock exchange on 27^th July.

In a statement, Toyota said the purpose of the agreement is "to develop ever-better cars by adopting a unified strategy for the small car segment, under which both companies will be free to focus on their core competencies".