Mitsubishi Rules Out Alliance Holding Company

Mitsubishi Motors Corp. CEO Osamu Masuko has sided with Nissan Motor Co. in opposing Renault’s desire to meld the three companies under a single holding company.

Renault and the French government, which owns 15% of Renault, have been pushing the idea for months. Carlos Ghosn, the former chairman of all three carmakers, told The Nikkei earlier this week he had discussed the plan with Nissan CEO Hiroto Saikawa—but not Masuko—in September.

But MMC’s Masuko tells reporters, “I don’t even consider it as one of the options.” He says he is skeptical that a holding company would permit partnership and management “on an equal footing.”

The current three-way alliance is strongly balanced in Renault’s favor. The French company owns a 43% voting stake in Nissan, which holds a controlling interest in MMC. Nissan owns 15% of Renault but has no voting rights. Nissan has been pushing for a more equitable ownership structure since early 2015.