Renault And Nissan Reach Equal Cross Shareholding Under New Deal; Nissan To Become Strategic Holder In Renault's Ampere

  • After several months of constructive discussions with French automaker Renault SA RNLSY RNSDF and Japanese automobile maker Nissan Motor Co, Ltd NSANF NSANY reached a milestone to strengthen the ties of the alliance.
  • Nissan and Renault Group would retain a 15% cross-shareholding.
  • They could freely exercise the voting rights attached to their 15% direct shareholding, with a 15% cap.
  • Nissan executives have had issues over the unequal ownership structure, with Renault owning 43% of Nissan and the Japanese automaker holding only a 15% non-voting stake in Renault.
  • Renault Group would transfer 28.4% of Nissan shares into a French trust, neutralizing the voting rights for most decisions but the economic rights (dividends and shares’ sale proceeds).
  • They looked to reload the partnership with high-value-creation operational projects consisting of critical projects in Latin America, India, and Europe, deployed along markets, vehicles, and technologies.
  • Nissan would aim to become a shareholder of Ampere, the EV & Software pure player founded by Renault Group, by investing an undisclosed sum.
  • Price Action: NSANF shares closed lower by 0.29% at $3.48 on Friday.
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