Nissan shares plunge on report of merger with Honda turning south

Japanese carmaker Nissan is backing out of merger talks with rival Honda. The merger was estimated to be worth more than $50 billion.

In a sharp turn from a previous plan to integrate the struggling company under a new holding company, Honda proposed making Nissan its subsidiary, the Nikkei business daily and other local media reported Wednesday.

"Strong opposition" within Nissan to this proposal was behind its decision to withdraw from the talks, the Nikkei said. Tokyo-based private broadcaster TBS published a similar report.