After nearly four months of negotiations, Nissan and Renault have agreed to revamp their 20-year-old alliance which will see both carmakers continue their relationship on more equal terms.
As part of the new agreement, Renault plans to reduce its stake in Nissan to 15 per cent from 43 per cent but place 28 per cent of the Japanese company in a French trust. According to Reuters, this will make the two’s partnership more equal.
Both companies will also have 15 per cent cross-shareholding that will provide Nissan with voting rights it never had previously.
Mitsubishi will also be joining the two as a junior partner, benefitting from their shared platforms to create models such as the new ASX.
A ‘lock-up’ will be placed over the deal which prevents either marque from selling their shares for a certain period of time.
Now that Nissan has more freedom within the partnership, it will focus on sales in the United States, China, and other emerging markets.
Both brands will also pool resources into key projects in Latin America, India and Europe.
The rekindled partnership will also see Nissan invest in Renault’s new electric vehicle business.
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