Renault and Nissan to provide more clarity on redesigned alliance

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Nissan and Renault are planning to reveal the details of their restructured alliance this week. The two automakers will also answer any queries that the stakeholders might have regarding plans of Renault in the electric vehicle (ERV) business and how the firm plans to relinquish most of its stake in Nissan.

Renault and Nissan to provide details of redesigned alliance

Nissan and Renault announced that they would be changing their auto-making partnership deal that has existed for two decades. Under the new terms of this alliance, Nissan will secure an investment in the new EV unit being developed by Renault, known as Ampere.

The new details about this alliance come around four months after the two automakers engaged in intense discussions regarding sharing intellectual property. Renault has been seeking new partnership opportunities with companies not within this alliance.

Under this partnership deal, Renault will reduce its stake in Nissan from around 43% to 15%. Renault will also place 28% of the stake in Nissan in a French trust. The new terms of this alliance will see the two automakers becoming more equal partners.

The board of the French automaker has already approved the changes to this alliance. On the other hand, Nissan’s board will be meeting on Monday to approve the new details. Investors and other stakeholders are looking forward to Monday’s board meeting to gain more clarity on how this trust will operate.

Investors and analysts await clarity on the new alliance

Analysts have shared their insights on the changes to this new alliance. A report by Reuters noted that some analysts supported the idea of Nissan buying back Renault, as it would be the best deal for the stakeholders.

“There is absolutely no word about what’s going to happen to those shares in the trust. It seems they’re avoiding the issue of Nissan buying them back, which I think would be the best thing for all parties involved,” said CLSA analyst Christopher Richter.

The analyst further said that Renault was not one of the dominant brands in the auto-making industry, which could make it challenging for the company to secure funding for its EV unit Ampere. According to Richter, these circumstances would see Renault demanding a higher payment from Nissan.

The partnership between Renault and Nissan has often been criticized because of its unequal nature. Nissan is a large automaker by sales despite being bailed out by Renault two decades ago.

The alliance between the two companies also includes Mitsubishi Motors. The deal was strained by the financial scandal revolving around the former chairman, Carlos Ghosn, who was the architect of this alliance.

The CLSA analyst noted that the terms of this new alliance would see Nissan and Renault working together on R&D while sharing costs and products. He added that similar deals exist in the auto-making industry, given that Honda and General Motors partnered to create low-cost EVs.



Ali is a professional journalist with experience in Web3 journalism and marketing. Ali holds a Master's degree in Finance and enjoys writing about cryptocurrencies and fintech. Ali’s work has been published on a number of leading cryptocurrency publications including, CryptoSlate,,, Business2Community, BeinCrypto, and more.