The Renault Board of Directors met on December 11 to discuss the shareholding and voting rights issues in the Renault – Nissan Alliance. Hiroto Saikawa, Vice-Chairman of the board, Chief Competitive Officer of Nissan issued the following statement:
“I am pleased to report that Nissan, Renault and the French State have reached an agreement that ensures the operating autonomy of Nissan and the future of the Alliance is secured.
Mr. Saikawa continued: “As always in our business decisions, we pursued a path that was in the best long-term interests of each company and their respective employees, shareholders, and communities. It is our view this has been accomplished and I am very pleased with the outcome”.
Fundamentally, the agreement secures the Alliance for future success by:
- The principle of the French government’s double voting rights within Renault to be maintained as of 1st April 2016, and a contract between the French government and Renault caps the French government’s voting rights at 17.9%, up to 20% in case of an unusually high quorum at the shareholders general meeting;
- No enfranchisement of Nissan shares in Renault;
- Nissan has the right to increase its holdings in Renault in the event of interference in Nissan’s governance or business by Renault
Mr. Saikawa added: “I would like to thank the Japanese government, Nissan employees and partners, and the Renault employees and management team for the strong support provided to our company throughout this process. Needless to say the trust between Renault and Nissan as Alliance partners over the last 16 years have come from the strong leadership of Mr Ghosn and this is the backbone of a great step for our future”.
Mr. Saikawa concluded: “Nissan’s commitment to a strong Alliance never wavered and we firmly believe the new agreement is in the best interests of our company. This marks the next step in the evolution of our company and the Alliance”.
