Renault Drops Caterham for Alpine Brand Project

Renault SA is ending its 16-month-old partnership to develop and produce sports cars with the U.K.'s Caterham Cars Ltd., Autocar reports.

The British auto enthusiast magazine says each company plans to role out its own version of the car in 2016 as planned. It isn't clear if the companies will share the same platform and powertrain as originally intended. Neither carmaker has commented.

Renault's two-seater will be used to relaunch the company's 1970s-era Alpine performance brand. Autocar says the roadster is expected to weigh about 1,100 kg and be powered by an engine that makes 250 hp. Renault will produce the car at its factory in Dieppe, France.

Media reports say Renault has grown wary of Caterham's ability to contribute its share of financial support for the joint venture.

The niche company's Formula One team earned no points and finished last in the 2013 season, thus failing to qualify for any F1 bonus money. Caterham was acquired in 2011 by Tony Fernandes, owner of the AirAsia airline. He has threatened to drop the company's F1 sponsorship unless the team improves.