Renault’s board of directors will meet Tuesday to formulate its response to a merger proposal by Fiat Chrysler, which is likely to lead to talks aimed at creating the world’s third-largest automaker, the company said.
Fiat Chrysler has made a “transformative” all-share merger proposal to French rival Renault, the Italian-American carmaker said on Monday, in a deal to create a new third-ranked global manufacturer.
Global shares climbed on Monday as investors snapped up automaker stocks following confirmation of merger talks between Fiat Chrysler and Renault, and after pro-EU parties kept a firm grip on power in elections to the European Parliament.
Fiat Chrysler and Renault are in talks on a comprehensive global tie-up that could address some of the main weaknesses of both carmakers, two sources with knowledge of the discussions told Reuters.
The wife of ousted Nissan Chairman Carlos Ghosn has again called on world leaders, who have gathered in Japan for a G20 summit, to help raise the issue of her husband’s treatment in the country where he
Renault Chairman Jean-Dominique Senard said on Thursday there was a “real desire” at the helm of the carmaker’s alliance with Nissan to make it a success, dismissing suggestions the two decade partnership might be on the rocks.
Shares in Renault recovered some lost ground on Tuesday after the French carmaker and its Japanese partner Nissan Motor rejected media reports that their alliance was in danger of being dissolved.
Renault expects a slight decline in the car market in Europe, Russia and China this year after the French carmaker reported a 3.4% fall of worldwide sales in 2019 as China and Iran weighed.
Renault’s first loss in a decade triggered a no-taboos commitment to cut costs by 2 billion euros ($2.2 billion) over the next three years from the carmaker on Friday, as it tries to put the Carlos Ghosn affair behind it.