| HBS Case Collection
(Revised from original 1999 version)
Honda-Rover (A): Crafting an Alliance
Faced with vexing financial challenges in 1993, British Aerospace (BAe) is determined to shed its loss-making automaker, Rover. It offers to sell its stake in Rover to Honda, Rover's partner since 1979, but Honda is reluctant to raise its stake in Rover. Meanwhile, BMW approaches BAe with a confidential bid to buy out Rover. This case places these developments within the context of the history of the British auto industry, Rover's heritage, evolution of the Honda-Rover partnership, and the rationale for BMW's interest in Rover. The case series describes subsequent developments.
Nanda, Ashish, James K. Sebenius, and Ron Fortgang. "Honda-Rover (A): Crafting an Alliance." Harvard Business School Case 899-223, November 2001. (Revised from original March 1999 version.)