Renault Might Sell Nissan To Fund Its EVs

Apr. 24, 2022 6:40 AM ET by Chase Bierenkoven Electric Vehicles / 8 Comments

Nissan could be standing on its own two feet again.

As of right now, Renault owns 43% of Nissan Motor Co. That move happened way back in 2001 after Nissan began to dig out of the financial hole it found itself in during the 90s, prior to many of the significant changes made by now-infamous boss Carlos Ghosn (who also saved the Nissan Z). Now, Renault might be calling it quits with Nissan.

The move is said to be coming because Renault wants to push more cash into EVs, like just about every automaker these days. The brand's EV presence is fairly minimal, especially in the eyes of American audiences, seeing as we haven't had a Renault here since 1991. The sale could help bring Renault-branded electric vehicles to the main stage, given the billions in euros the brand stands to make by selling its stake in Nissan.

Bloomberg reports that Nissan itself could be looking to buy some of the nearly 2 billion Renault-owned shares. The publication also reported that Renault is actively looking for other buyers as well. While spokespersons for both brands decline to comment, it's important to remember that Nissan also owns 15% of Renault, but does not have any say in how the French automaker does business.

Should this rumored sale happen it'll help fund a $26 billion EV shift for the Renault-Nissan-Mitsubishi alliance, one that may not truly exist anymore should the sale occur. On Renault's end, the company is considering splitting its electrified arm from the Renault brand. It's a move the marque has managed to make stick before, with the sporty A110 sold under the Alpine brand, a Renault subsidiary.

Reportedly, Chinese holding group Geely, the folks who own Volvo and Polestar, could be in the cards for this massive sale, say Bloomberg's sources. Renault does appear to have a solid relationship with the Chinese autos giant, having agreed to cooperate on a South Korean facility early in 2022. Predictably, Geely, like Nissan and Renault, has not provided comment.

The move could create opportunities for both Nissan and Renault to become more independent, though what might become of Mitsubishi during this sale is unclear. Perhaps we'll see some platform sharing as part of the deal? A Renault-branded Nissan Leaf certainly sounds interesting given the French brand's strong history with hatchbacks.

Source Credits: Bloomberg

Renault Might Sell Nissan To Fund Its EVs

Join The Discussion

Gallery

Renault Might Sell Nissan To Fund Its EVs

Join The Discussion

Gallery

Related Cars