Renault, Nissan reduce alliance stakes to 10% amid financial pressures

Renault and Nissan have announced revisions to their long-standing partnership aimed at supporting Nissan's recovery amid financial struggles. The new agreement allows for a reduction in their cross-shareholdings from 15% to 10%, and Nissan is released from its commitment to invest 600 million euros in Renault's electric vehicle unit, Ampere. Renault also plans to acquire Nissan's 51% stake in their joint Indian factory, further consolidating its operations. This restructuring coincides with the appointment of Ivan Espinosa as Nissan's new CEO, who is expected to focus on enhancing the company's competitiveness. Renault CEO Luca de Meo emphasized the importance of Nissan's turnaround for their partnership's future, while also forecasting a positive free cash flow for Renault in the coming years. The two carmakers have been partners since 1999, but have faced increasing tensions and challenges in recent years.