Renault Group and Nissan have officially enacted the New Alliance Agreement, marking a crucial milestone in their collaboration and supplanting previous alliance agreements. This move follows regulatory approvals and solidifies a 15% cross-shareholding with voting rights for both partners.
Under the new agreement, each partner retains 15% voting rights associated with its shareholding, and these rights are capped at 15% of the exercisable voting rights.
Renault has transferred 28.4% of Nissan shares into a French trust, where these shares will be neutrally voted, with limited exceptions. Renault continues to enjoy economic rights from the entrusted Nissan shares, including dividends and proceeds from share sales, until they are sold.
Importantly, Renault Group holds the flexibility to instruct the trustee to sell the entrusted Nissan shares, without a specific pre-determined timeframe. This process will be coordinated with Nissan, allowing Nissan or a designated third party to have a right of first offer.
The transfer of Nissan shares into the trust will not result in any impairment in Renault Group's financial statements.
This development paves the way for a new phase in the Alliance, building on their long-standing partnership and aiming to maximize value creation for each member. It sets the groundwork for a balanced, fair, and efficient governance structure, with a focus on identifying key projects across markets that deliver mutually beneficial, large-scale benefits.
Jean-Dominique Senard, Chairman of the Alliance, said that this is a very important step for Renault Group, Nissan, and Mitsubishi Motors, and lays the foundations for a new fair, long-standing and effective partnership that will create value for each Alliance member and for all our stakeholders.
Makoto Uchida, President and CEO, Nissan Motor Co. Ltd., emphasised the importance of this equal footing, highlighting Nissan's commitment to exploring growth opportunities aligned with its Ambition 2030 and electrification strategy. He added that the rebalanced partnership with Renault Group holds promising future prospects.
Luca de Meo, CEO, Renault Group, highlighted the pragmatic and business-oriented approach as they enter this new era of the Alliance. Joint projects in Europe, Latin America, and India are set to strengthen the partnership and generate substantial value. Additionally, the partnership extends to Ampere, an EV and software business, involving Nissan and Mitsubishi Motors. Renault Group will also benefit from increased flexibility in its capital allocation policy, potentially including the monetisation of Nissan shares.
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