Source disclosure: February 10, 2026
HONDA MOTOR CO.,LTD. [7267.T]
TOKYO, Feb 10 (Reuters) - Honda Motor Co., Ltd. announced today that it has decided to transfer its four-wheel and Software Defined Vehicle (SDV) development functions to its wholly-owned subsidiary, Honda R&D Co., Ltd., through a company split (hereinafter referred to as "this organizational restructuring"). The move aims to enhance research and development capabilities by integrating these functions under one entity.
The organizational restructuring is set to take place on April 1, 2026, following a resolution made by the board of directors on February 10, 2026. This process will be conducted as a simplified absorption split under Article 784, Paragraph 2 of Japan's Companies Act, which does not require shareholder approval. As part of this reorganization, Honda Motor will transfer certain assets and liabilities related to the four-wheel and SDV development functions to Honda R&D.
This restructuring is intended to enable Honda to respond more flexibly and swiftly to rapidly changing market conditions while maintaining continuous innovation in product offerings. By consolidating technical theme selection and product deployment processes within a unified framework, Honda seeks to strengthen its research and development infrastructure.
Regarding the specifics of the companies involved, Honda Motor, headquartered in Tokyo, currently holds a capital stock of ¥86,067 million and operates across two-wheel, four-wheel, and power products sectors. Meanwhile, Honda R&D, based in Saitama Prefecture, specializes in research and development activities with a capital stock of ¥7,400 million. Following the completion of the organizational restructuring, both entities will retain their current business operations and leadership structures without any changes to their names, locations, or fiscal years.
Honda expects minimal impact on its consolidated financial performance from this organizational realignment. The company believes that this strategic shift will bolster its competitive edge in an increasingly dynamic automotive landscape.
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