Renault to reduce its stake in Nissan to 15%‎

French car manufacturer Renault intends to reduce its stake in its partner Nissan as part of an agreement to rebalance the solid alliance between the two companies, the Japanese company said today, Monday.

According to Sputnik, Nissan said in a statement that Renault will reduce its stake from 43.4 percent to 15 percent, which is the same share as Nissan in its French counterpart, as part of a broad agreement that reshapes relations between the two companies.

The agreement comes after months of negotiations and is expected to be signed following the approval of the boards of directors on both sides, according to “AFP.”

Nissan also said it would invest in Nissan’s electric vehicle company, AMP, although the size of the stake has yet to be announced.

The Japanese company stated that the new agreement will “strengthen alliance relations and maximize value creation for all shareholders.”

The International Automobile Alliance began in 1999 when Renault bailed Nissan out of bankruptcy

Mitsubishi joined them in 2016 when Nissan acquired a 34 percent stake in its struggling Japanese rival.