Renault, Nissan Meet on Future of Alliance

Top officials from Renault SA and Nissan Motor Co. are gathering today in Amsterdam for two days of meetings about the future of their 19-year-old alliance.

The partnership has been shaken by last month’s arrest of Carlos Ghosn, who had chaired both carmakers, the alliance and its newest member, Mitsubishi Motors Corp. He has been indicted for failing to report $43 million in deferred compensation.

Ghosn has since been removed as chair of Nissan and its MMC affiliate. But Renault, which controls the alliance, so far has declined to officially replace Ghosn as CEO and chairman of Renault and chairman of the alliance.

Sources tell Reuters that Nissan CEO Hiroto Saikawa and Renault’s deputy CEO Thierry Bollore may meet face-to-face during the alliance board meetings for the first time since Ghosn’s arrest. Yesterday Nissan rejected Renault’s request to convene a special Nissan shareholder meeting to discuss the Ghosn crisis.

Saikawa is eager to equalize control of the partnership, particularly since Nissan has swung from near bankruptcy when the alliance began to contributing 60% of its sales today. Renault holds a 43% voting stake in Nissan. Nissan, which acquired a 34% controlling interest in MMC in 2016, owns 15% of Renault , but with no voting rights.