Nissan, Renault consider joint holding company: Report
Thursday, 31 March 2011, 17:40 IST
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Tokyo: Japan's Nissan Motor Co and French carmaker Renault SA are considering establishing a joint holding company. The proposed company would put Nissan and Renault under a single umbrella, Nissan President Carlos Ghosn. The process could take place in two or three years, Ghosn, who is also chairman of Renault. Ghosn said shareholders' interests must be taken into consideration, suggesting that Nissan and Renault will remain listed. The French government, which owns a 15-percent stake in Renault, will also have a say. If realized, the plan would mark the first time that major carmakers in countries across the globe came together under a single holding company, the Nikkei said. The plan calls for Russia's leading automaker AvtoVaz, which is 25-percent-owned by Renault, as well as Romania's Dacia and South Korea's Renault Samsung Motors - both subsidiaries of the French carmaker - to move under the proposed umbrella. In 2010, Nissan sold a record 4.08 million vehicles globally, up 21.5 percent from the previous year, as sales in China exceeded one million units for the first time. Other emerging markets such as Russia, India and Brazil are also key for the Japanese carmaker. Renault owns a 44.3-per-cent stake in its Japanese partner while Nissan holds 15 percent of the French carmaker's shares, the daily said
Source: IANS
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