France Will Retain 13.7% Stake in PSA

The French government says it will retain the 13.7% stake in PSA Group it gained in 2014 as part of a plan to capitalize the then-struggling company.

The funding effort resulted in the same holdings for China’s Dongfeng Motors and PSA’s founding Peugeot family. The trio of €800 million ($855 million) investments have approximately doubled in value since then.

Last spring the Peugeot family signaled an interest reestablishing its control of the company by buying back at least a portion of the government’s stake. The government’s disinterest in doing so mimics its retention of the expanded 19.7% stake it gained in Renault SA in 2015.

The government has used its clout at Renault to influence business decisions about executive pay and the structure of the company’s alliance with Nissan Motor Co.