Aramco Invests In Renault & Geely's Powertrain Tech Company - What's On The Cards? - Renault (OTC:RNLSY), Geely Automobile Hldgs (OTC:GELYY)

Petroleum company Saudi Aramco has signed a letter of intent with Renault ADR RNLSY and Geely Automobile Holdings Ltd.GELYY to become a potential minority stakeholder in a new powertrain technology company (PWT). The financial terms were not disclosed.
The PWT to be established by Renault and Geely will be dedicated to internal combustion and hybrid powertrain technologies.
Aramco's investment would support the growth of the company, and contribute to key research and development across synthetic fuels solutions and next-gen hydrogen technologies.
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Geely and Renault expect to retain equal equity stakes in the new independent entity.
The company will have a global network of 17 powertrain plants and five R&D centers across three continents.
PWT will be a standalone global supplier with a combined capacity of over five million internal combustion, hybrid and plug-in hybrid engines and transmissions per year, supplying over 130 countries and regions.
"Aramco's entry brings to the table unique know-how that will help develop breakthrough innovations in the fields of synthetic fuels and hydrogen," said Renault CEO Luca de Meo.
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Price Action: RNLSY shares closed lower by 0.11% at $8.90 on Wednesday.
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Aramco Invests In Renault & Geely's Powertrain Tech Company - What's On The Cards?