Jump to content

FCA And Renault's merger might continue afterall

FCA And Renault's merger might continue afterall

chitchatboy

841 views

It is rumored that Fiat Chrysler Automobiles and Renault have resumed talks to revive its potential merger. Its merger plan failed a couple of weeks ago and FCA blamed the French government for it.

According to Reuters, Nissan wants Renault to significantly reduce its 43.4% stake in return for its support of a $48billion merger between FCA and Renault.

In the article, FCA chairman John Elkann and Renault chairman Jean-Dominique Senard have been holding talks about continuing the negotiation, but both companies are refusing to comment on the reports officially. A senior advisor from FCA, Toby Myerson was also spotted at the Nissan headquarters in Japan for discussions with top management and would have likely include Nissan Chief Executive Hiroto Saikawa.

Also in the article, it explained that the Nissan head has long believed that its alliance with Renault needed “re-balancing”. This is because Nissan is much larger than Renault but it only holds a 15% stake in the French automaker and no voting rights, while Renault owns 43.4% of Nissan.

The French government has since responded, willing to reduce its 15% stake in Renault in an effort to see the merger come to fruition, but only if that would benefit both FCA and the Alliance in general.




0 Comments


Recommended Comments

There are no comments to display.

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • GoalFest: The Premier League’s highest scoring games

    For all the intricacies of today's footballing landscape, with managers employing unusual tactics - think Pep Guardiola fielding four centre backs - and a greater emphasis on playing it out from the back, the greatest joy a game can give its viewers is still a goalfest, where chaos reigns supreme and the net never seems to stop bulging. And Manchester United's recent 4-4 draw with Bournemouth at Old Trafford has reignited that spark. Indeed, this scoreline is by far the most common in terms

    chrissyc

    chrissyc

×
×
  • Create New...