Renault & Nissan to consider restructuring for Fiat Chrysler merger
The car makers are reportedly planning to reframe their partnership to build up new negotiations with Fiat Chrysler.
French car-maker Renault SA and the Japanese constructor Nissan Motor Company are reportedly considering implementing changes to their alliance with a motive to revive unification negotiations with the Italian-American automaker Fiat Chrysler.
As per authentic sources, the negotiations for an alliance between Renault & Fiat Chrysler (FCA) was brought down in June, with Renault's chairperson blaming the French government for blocking a vote on the deal which would have made headlines in the automotive domain and formed the world's third-largest car-maker.
However, it has been claimed that the French government has refused to the allegations. Meanwhile Nissan has marked its association with Renault as unequal and said Renault had kept its Japanese wing unaware about its merger plans with FCA.
According to the sources familiar with matter, Nissan has asked Renault to consider reducing its 43% stake in the Japanese automaker. Reportedly, Nissan controls over 15% of the stake and bears no voting rights in Renault, which is also partly owned by the French government.
As per sources, an equalizing relationship would help simplify some of the arguments between the two companies and alleviate Nissan's unwillingness to back the merger with FCA. Also, a draft contract on rebuilding the relationship is expected to be disclosed as early as September.
Emmanuel Macron, the French President earlier in June was reportedly quoted stating that he would not be considering any changes to Renaults’ and Nissans’ negotiation structure.
For the record, headquartered in France, Renault is a French multinational automobile manufacturer which holds its specialisation in producing a broad spectrum of cars and vans since 1899.
Fiat Chrysler Automobiles headquartered in London, UK, is an Italian-American multinational corporation and is considered to be the world's 8th largest automaker. It designs and manufactures vast range of passenger cars, Light Commercial Vehicles and production equipments.
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