Photo: Nissan
At the end of May, Fiat Chrysler Automobiles found its match and officially requested French carmaker Renault to consider a merger. Exactly a week since the proposal was made, Renault is yet to answer and its partners in the Alliance seem at a loss.
In a statement attributed to the Nissan’s CEO Hiroto Saikawa, the Japanese carmaker made public on Monday (June 3) its first official position. One that is neither hopeful, nor desperate.
According to Saikawa, Renault is to discuss the terms of the proposed deal this week. Unlike FCA, who clearly asked for a merger, Nissan would rather see the Italian-American company as a “new member of the Alliance” that could “expand the playing field for collaboration.”
Since that’s not the case, and “the proposal currently being discussed is a full merger,” Nissan warns that it might have to fundamentally review the “existing relationship between Nissan and Renault” given the severe corporate transformation the French will go through at the hands of such a deal.
“From the standpoint of protecting Nissan’s interests, Nissan will analyze and consider its existing contractual relationships and how we should operate business in the future," the CEO ends his statement.
As per FCA’s request, together with Renault it would form a new business to be run by a new Dutch parent company. Its board would comprise 11 members: four each for FCA and Renault, one for Nissan and the rest independent.
Should the Renault board approve the deal, the resulting company would become the third largest car manufacturer in the world, with combined sales of around 8.7 million vehicles annually and access to nearly all markets.
No plants are to be closed by any of the involved parties according to the FCA plan.
Renault’s executives already met at least once last week to discuss the deal, but reached no conclusion.
According to Saikawa, Renault is to discuss the terms of the proposed deal this week. Unlike FCA, who clearly asked for a merger, Nissan would rather see the Italian-American company as a “new member of the Alliance” that could “expand the playing field for collaboration.”
Since that’s not the case, and “the proposal currently being discussed is a full merger,” Nissan warns that it might have to fundamentally review the “existing relationship between Nissan and Renault” given the severe corporate transformation the French will go through at the hands of such a deal.
“From the standpoint of protecting Nissan’s interests, Nissan will analyze and consider its existing contractual relationships and how we should operate business in the future," the CEO ends his statement.
As per FCA’s request, together with Renault it would form a new business to be run by a new Dutch parent company. Its board would comprise 11 members: four each for FCA and Renault, one for Nissan and the rest independent.
Should the Renault board approve the deal, the resulting company would become the third largest car manufacturer in the world, with combined sales of around 8.7 million vehicles annually and access to nearly all markets.
No plants are to be closed by any of the involved parties according to the FCA plan.
Renault’s executives already met at least once last week to discuss the deal, but reached no conclusion.
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