Nissan Motor CEO Ivan Espinosa said the carmaker plans to reduce its stake in French partner Renault, the Nikkei business newspaper reported on Monday.
Nissan and Renault had said in March they had agreed to reduce their required minimum stake in each other to 10% from 15%. Under their agreement, any share sale has to be co-ordinated with the other party and includes a right of first refusal.
Selling a 5% stake in Renault would raise about ¥100bn R11.48bn) at current share prices, funds Nissan plans to use for new vehicle development amid challenging business conditions, the Nikkei said. Nissan holds 15% of the French company, according to LSEG data.
The news comes as Renault said on Sunday that boss Luca de Meo is leaving the carmaker to pursue a role outside the car industry.
“We are bringing down our cross-shareholdings to invest in vehicles,” the newspaper quoted Espinosa as saying in an interview.
Nissan said that there had been no change in its co-operative agreement with Renault.
“Should a share sale be executed in the future, the proceeds are expected to be primarily allocated towards investments in product development. However, no definitive decisions have been made at this stage,” it said.
A sale would mark the latest example of the companies loosening ties which have spanned more than two decades. Renault separately holds a stake in Nissan that is in a French trust, which has been gradually sold down since 2023 when the two overhauled their alliance to put Nissan on more equal footing.
Nissan plans to reduce stake in Renault, says CEO Espinosa
The news comes as Renault said on Sunday that boss Luca de Meo is leaving the carmaker to pursue a role outside the car industry
Image: Supplied
Nissan Motor CEO Ivan Espinosa said the carmaker plans to reduce its stake in French partner Renault, the Nikkei business newspaper reported on Monday.
Nissan and Renault had said in March they had agreed to reduce their required minimum stake in each other to 10% from 15%. Under their agreement, any share sale has to be co-ordinated with the other party and includes a right of first refusal.
Selling a 5% stake in Renault would raise about ¥100bn R11.48bn) at current share prices, funds Nissan plans to use for new vehicle development amid challenging business conditions, the Nikkei said. Nissan holds 15% of the French company, according to LSEG data.
The news comes as Renault said on Sunday that boss Luca de Meo is leaving the carmaker to pursue a role outside the car industry.
“We are bringing down our cross-shareholdings to invest in vehicles,” the newspaper quoted Espinosa as saying in an interview.
Nissan said that there had been no change in its co-operative agreement with Renault.
“Should a share sale be executed in the future, the proceeds are expected to be primarily allocated towards investments in product development. However, no definitive decisions have been made at this stage,” it said.
A sale would mark the latest example of the companies loosening ties which have spanned more than two decades. Renault separately holds a stake in Nissan that is in a French trust, which has been gradually sold down since 2023 when the two overhauled their alliance to put Nissan on more equal footing.
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