Ghosn confirms review of Renault-Nissan capital structure

Carlos Ghosn confirmed for the first time that Renault and Nissan Motor are reviewing the capital structure of their two-decade alliance, telling Japan’s Nikkei newspaper that he is open to all options as the automakers explore deeper ties.

Ghosn, who is chairman of both automakers, said in an interview that he wants to find a solution by 2022.

Bloomberg News reported in March that Nissan and Renault were in talks to merge under a single stock to position the automakers for vast changes in the car industry.

The CEO was quoted by the Nikkei as saying he wouldn’t discard any option and is not prioritizing any either, although some are more probable than others because of what he called sensitivity.

A Nissan official confirmed Ghosn’s remarks to Bloomberg News.

Renault owns 43 percent of Nissan, while the Japanese company has a 15 percent stake in its French counterpart. While there is much to gain from unifying them, obstacles remain. The French government is the biggest shareholder in Renault, while Japan owns a significant holding in Nissan. Ghosn is driving the negotiations and would run the combined entity, Bloomberg News reported in March.

Forging a single company from the French and Japanese brands would feed a growing trend toward consolidation in the global auto industry, which is grappling with an unprecedented shift toward electric and shared cars.

Chinese businessman Li Shufu, who owns Volvo Cars and just bought the largest stake in Daimler, on Sunday penned an editorial in a German newspaper calling on manufacturers to increase the use of shared platforms.

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