Nissan and Renault shelve merger plans to repair their alliance: sources

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Renault and Nissan have shelved plans to push towards the full merger former leader Carlos Ghosn craved and will instead fix their troubled alliance to try to recover from the coronavirus pandemic, five senior sources told Reuters.

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(Reuters) – Renault (RENA.PA

The latest effort to salvage the Renault-Nissan alliance comes at a time of rising global economic nationalism and protectionism that represent a risk to the partnership.

But for now, the new approach means the two companies will sideline any discussion of a complete merger, the sources said. Renault owns a 43.4% controlling stake in Nissan, which owns non-voting 15% stake in the French carmaker.

“Will merger talk be revived in the future? No one knows. Everybody has to be prepared for that. But as far as I know, it’s not being pursued anymore,” said one of the senior alliance sources. “It is totally out of our sight today.”

Reporting by Norihiko Shirouzu in Beijing; Additional reporting by Gilles Guillaume in Paris; Editing by Joe White and David Clarke


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Author:

Renault and Nissan have shelved plans to push towards the full merger former leader Carlos Ghosn craved and will instead fix their troubled alliance to try to recover from the coronavirus pandemic, five senior sources told Reuters.

Source: {authorlink}

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