French government prepared to trim Renault stake to bolster Nissan alliance


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French government prepared to trim Renault stake to bolster Nissan alliance

On Saturday, the 8th of June 2019, the French Finance Minister, Bruno Le Maire, said that the French Government had laid the groundworks to slash its stakes on French carmaker Renault SA in order to boost up Renault’s tie-up with Japanese Nissan Motor Co., which appeared to have hit a dead-end following the arrest and dismissal of the former alliance Chairman, Carlos Ghosn, for the moment being who had been in some kind of house detention in Tokyo facing four charges including financial misconducts and embezzling of company funds for covering personal expenses, though there had not been any notable proof so far.

According to an Agence France Press (AFP) report published later on Saturday (June 8th), Le Maire had been quoted saying that the French Government, holding a 15 percent stake on Renault, might weigh on curbing its stake, if it could yield a “more solid” landing between the alliance partners, Japanese Nissan Motor Co.

and the French automaker. Emphasizing on a consolidation of relationship between the alliance partners, in an interview with the AFP, French Finance Minister, Le Maire said, “We can reduce the state’s stake in Renault’s capital.

This is not a problem as long as, at the end of the process, we have a more solid auto sector and a more solid alliance between the two great car manufacturers Nissan and Renault”.