Nissan To Review Renault Partnership, If It Accepts FCA Merger Proposal

(RTTNews) - The Japanese automobile manufacturer Nissan (NSANF.PK, NSANY.PK) said it will analyze and consider its existing contractual relationships with Renault (RNSDY.PK, RNSDF.PK, RNT.L), if the French car-maker accepts a merger proposal from Fiat Chrysler Automobiles N.V. (FCA). Renault holds 43.4 percent of Nissan with voting rights and a reciprocal 15 percent holding by Nissan has no voting rights.

The merger proposal from FCA will be discussed by Renault's board this week. The proposal would significantly alter the structure of partner Renault. It would require a fundamental review of the existing relationship between Nissan and Renault, Nissan Chief Executive officer Hiroto Saikawa said in a statement.

In late May, Fiat Chrysler Automobiles submitted a 50/50 merger proposal to the Board of Groupe Renault.