Unlock Premium Data: Up to 50% Off InvestingProCLAIM SALE

Nissan presses partner Renault to sell down stake -WSJ

Published 10/07/2022, 10:52 PM
Updated 10/08/2022, 04:55 AM
© Reuters. FILE PHOTO: The logos of car manufacturers Nissan and Renault are pictured at a dealership Kyiv, Ukraine June 25, 2020. REUTERS/Valentyn Ogirenko
RENA
-
TSLA
-
VOWG_p
-
NSANY
-
RNLSY
-

(Reuters) -Nissan Motor Co Ltd is pressing partner Renault SA (OTC:RNLSY) to cut its stake in the Japanese automaker and revamp their more than 20-year-old alliance, the Wall Street Journal said on Friday, citing people with knowledge of the talks.

French car firm Renault (EPA:RENA) owns about 43% of Nissan (OTC:NSANY), while the Japanese firm owns 15% of its top shareholder, but without voting rights.

In June, Nissan revealed for the first time some details of its alliance pact with top shareholder Renault that keep the latter from unilaterally increasing its stake beyond 44.4%.

Their talks cover the question of whether Nissan will join Renault's new unit being set up to house its electric vehicle (EV) assets in exchange for its French ally winding down the Nissan stake, the paper said.

Nissan's Chief Operating Officer Ashwani Gupta was among the firm's executives who visited France last month and discussed whether the Japanese car maker would invest in Renault's new EV business, the paper added.

Renault is pushing ahead with plans to split its EV and combustion engine businesses in a bid to catch up with rivals such as Tesla (NASDAQ:TSLA) and Volkswagen (ETR:VOWG_p) in the race to cleaner driving.

© Reuters. FILE PHOTO: The logos of car manufacturers Nissan and Renault are pictured at a dealership Kyiv, Ukraine June 25, 2020. REUTERS/Valentyn Ogirenko

It expects to unveil a detailed blueprint for the new EV entity this autumn.

Renault declined to comment on the report, while Nissan did not immediately respond to Reuters' request for comment outside normal working hours.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.