Get 40% Off
💰 Buffett reveals a $6.7B stake in Chubb. Copy the full portfolio for FREE with InvestingPro’s Stock Ideas toolCopy Portfolio

Renault-Nissan crisis meeting fails to name interim boss

Published 11/29/2018, 12:09 PM
© Reuters. Tsuyoshi Yamaguchi leaves after the Renault-Nissan-Mitsubishi alliance meeting, in Amsterdam
RENA
-
7201
-
7211
-

By Toby Sterling and Makiko Yamazaki

AMSTERDAM/TOKYO (Reuters) - Renault (PA:RENA) and Nissan (T:7201) vowed to stick by their industrial alliance on Thursday but failed to name an interim boss to stand in for Chairman Carlos Ghosn, whose arrest has threatened the French carmaker's control of the partnership.

The two companies and Nissan-controlled Mitsubishi Motors (T:7211) "emphatically reiterated" their commitment to the alliance, as executives met in Amsterdam for the first time since Ghosn's Nov. 19 arrest over misconduct allegations.

But attempts by Renault to transfer Ghosn's chairmanship of the Renault-Nissan board to his French deputy Thierry Bollore appeared to have foundered.

There are no plans to name an interim alliance leader, Mitsubishi boss Osamu Masuko said afterwards. Instead, he said, leadership will be shared among the three companies' CEOs.

The crisis unleashed by Ghosn's arrest has deepened as Nissan CEO Hiroto Saikawa seeks to end 43.4 percent-owner Renault's grip on their alliance. Ghosn was swiftly ousted as Nissan chairman but remains at the helm of Renault.

Renault had named Bollore as deputy CEO with "the same powers" as Ghosn a day after his arrest - in a bid to maintain the continuity of its leadership of the alliance.

Under its 2002 master agreement, seen by Reuters, the alliance is chaired by the sitting chief executive of Renault, a post still held by Ghosn. Nissan's reciprocal a 15 percent stake in its French parent currently has no voting rights.

Changes to the alliance ownership structure were not discussed, Masuko said in Japan after joining the meeting by video link. Saikawa and Bollore also participated remotely.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Ghosn, 64, and alleged co-conspirator Greg Kelly, a fellow Nissan director, were arrested in Tokyo over financial misconduct allegations after a Nissan investigation sparked by a whistleblower.

Both deny accusations that they under-reported Ghosn's compensation, misrepresented Nissan investments and made personal use of company funds.

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.