With Ghosn’s ouster, Nissan and Renault restructure alliance

Reuters Updated - March 12, 2019 at 09:35 PM.

Renault chief will no longer be Nissan chairman too; cross-shareholdings to remain intact

United front (From left) Renault CEO Thierry Bollore and Chairman Jean-Dominique Senard, Nissan Motors President and CEO Hiroto Saikawa and Mitsubishi Motors Chairman and CEO Osamu Masuko at a joint press conference in Yokohama, Japan, on Tuesday.

Japan’s Nissan Motor and France’s Renault said on Tuesday they will retool the world’s top car-making alliance to put themselves on more equal footing, breaking up the all-powerful chairmanship previously wielded by ousted boss Carlos Ghosn.

The removal of Ghosn had caused uncertainty about the future of the alliance and some speculation the partnership could even unravel. The companies, together with junior ally Mitsubishi Motors , said the chairman of Renault would serve as the head of the alliance but not as chairman of Nissan.

Nissan has said that Ghosn wielded too much power, creating a lack of oversight and corporate governance. It was not clear who would become Nissan's chairman, vacant since Ghosn was arrested in Japan in November.

But the automakers gave no indication of any immediate change in their cross-shareholding agreement, one which has given smaller Renault SA more sway over Nissan. The so-called Restated Alliance Master Agreement that has bound them together so far remains intact, they said.

Published on March 12, 2019 15:50