Nissan urges partner Renault to sell its stake -WSJ

(Reuters) – Nissan Motor Co Ltd is pressuring its partner Renault SA to reduce its stake in the Japanese automaker and revamp its more than 20-year-old alliance, The Wall Street Journal said on Friday, citing people at the stream of talks.

The French car firm Renault owns about 43% of Nissan, while the Japanese firm owns 15% of its main shareholder, but without voting rights.

In June, Nissan revealed for the first time certain details of its alliance pact with the main shareholder Renault which prevents the latter from unilaterally increasing its stake beyond 44.4%.

Their talks center on whether Nissan will join Renault’s new unit being created for its electric vehicle (EV) assets in exchange for reducing its French ally’s stake in Nissan, according to the newspaper.

Nissan chief operating officer Ashwani Gupta was among company executives who visited France last month and discussed whether the Japanese automaker should invest in the new vehicle business. electric cars from Renault, the newspaper added.

Renault is pushing ahead with plans to split its electric vehicle and combustion engine businesses in a bid to catch up with rivals such as Tesla and Volkswagen in the race for cleaner driving.

He plans to unveil a detailed plan for the new EV entity this fall.

Renault and Nissan did not immediately respond to Reuters request for comment outside of normal working hours.

(Reporting by Rhea Binoy in Bengaluru; Editing by Clarence Fernandez)

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