On Tuesday, Japan’s Stanley Electric announced that it had signed a capital and business alliance with Honda Motor Co to facilitate next-generation technologies for vehicles.

Founded by Takaharu Kitano in 1920, Stanley Electric is a Japanese manufacturer of electric lights. Stanley Electric has 36 consolidated subsidiaries, three related firms, 23 factories in eight countries, and company offices in 17 countries. It employs over 16,000 people. Honda is one of the main customers for its core business, automotive lighting.
The company said it would transfer 7.5 million of its shares to Honda for 2,534 yen (USD 17.57) per share as part of the agreement. Reportedly, the two companies aim to decarbonise the supply chain, consolidate parts and enhance product development efficiency.

Founded by Soichiro Honda in 1946, Honda is a Tokyo-based public multinational conglomerate which manufactures automobiles, motorcycles, and power equipment. Headquartered in Minato, Honda has been the world’s largest motorcycle maker since 1959. It has reached a production of about 400 million by 2019. It is also the world’s largest manufacturer of internal combustion engines measured by volume, producing more than 14 million annual internal combustion engines.