Talks over Renault-Nissan shares come to an end
The negotiations between the two companies, which involve the reduction of the current participation of the French group Renault in the Japanese manufacturer Nissan, have come to an end.
Renault has the largest stake in Nissan with 43 percent. Nissan also has a 15 percent stake in Renault. Renault’s participation in Nissan is on the agenda.
Nissan has been known to be uncomfortable with the current share level gap for a long time. The two companies are negotiating the mutual matching of their participation levels.
THE PROPOSAL OF THE FRENCH COMPANY HAS BEEN LOOKED POSITIVELY
According to news from the official Japanese news agency Kyodo, based on market sources, negotiations to reduce Renault’s stake level to 15 percent have come to an end.
According to Nikkei Asia, at the beginning of the week, the directors of the Japanese company, who were discussing the last stage of the share negotiations, announced that they viewed the French company’s offer positively.
Group Renault Chief Executive Officer (CEO) Luca de Meo is expected to meet Nissan Chief Executive Makoto Uchida within the next week to finalize negotiations.
RENAULT INVESTS 4 BILLION DOLLARS
It was noted that Japanese Prime Minister Kishida Fumio met with French President Emmanuel Macron in Paris last week and the two companies discussed the negotiation process.
Renault-Nissan formed one of the world’s largest automobile groups with a Franco-Japanese partnership in 1999. Renault had invested nearly $4 billion in Nissan.
The French automaker has become Nissan’s largest shareholder, with its “redemptive move” for the Japanese company on the brink of bankruptcy. Japan’s Mitsubishi joined the alliance in 2016.
De Meo, the French manager for the negotiations, stated that they want to redefine the partnership, saying, “This is not a ‘one party loses, the other wins’ situation.” he said.
Former Nissan chief executive Saikawa said the Japanese firm and the “unequal automotive alliance of the French firm, by reducing Renault’s stake in Nissan” should find a solution. (AA)