Nissan's board is in the process of abandoning merger talks with Honda and could be open to other partners, a source close to the matter told AFP on Thursday and local media reported.

The discussions unravelled after Honda proposed to make its struggling rival a subsidiary instead of the plan announced in December to integrate under a new holding company.

"The latest conditions put on the table by Honda are unacceptable for Nissan... It was almost an affront," the source said, confirming information reported in Japanese media.

"It needs to be formalised, but basically, it's over."

The source said Nissan was "open" to forming other strategic partnerships within the automobile or technology sectors.

But the company "needs to be........

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