Peugeot, Mitsubishi in tie-up discussions

PARIS: French carmaker PSA Peugeot Citroen said yesterday it is in talks with Mitsubishi Motors Corp that could lead to a "strategic partnership".

In a statement, France's biggest automaker said it "confirms that it has started discussions with Mitsubishi Motors ... concerning the possibility of extending their relationship which could lead to a strategic partnership".

The statement did not go as far as a report in Japan's Nikkei business daily which said that Peugeot Citroen will buy a 30 to 50 percent stake in Japan's No 4 automaker for up to 300 billion yen ($3.4 billion).