Renault and Nissan have agreed a deal that would equalise their capital relationship, removing an imbalance that had consistently troubled the 24-year carmaking alliance.
France’s Renault will cut its 43 per cent stake in Japan’s Nissan to 15 per cent by transferring 28.4 per cent stake to a French trust, where the voting rights would be “neutralised” for most decisions, the groups said on Monday.
Renault will sell the shares when economically suitable, and is under “no obligation” to divest in a certain timeframe, they added. Meanwhile, Nissan will hold on to its 15 per cent stake in Renault as part of the agreement, and gain voting rights it had long requested.
Negotiations had been underway for months and the final details were not settled even hours before the statement came out, according to people familiar with the discussions.
Alongside the shareholding shake-up, the deal also includes an agreement for Nissan to invest in Renault’s spin-off of its electric vehicle unit with a minority stake and several new joint production plans.