Toyota Motor (TYO:7203), China FAW Corporation, and Guangzhou Automobile Group will establish a new alliance to boost cooperation in technology, research and development, procurement, production, sales, and service, Toyota said in a Thursday release.

Guangzhou Automobile Group will acquire China FAW Corporation's 50% stake in FAW Toyota via a share issuance, while China FAW Corporation will become a key shareholder of Guangzhou Automobile Group, the release said.