Japanese multinational automobile manufacturer Nissan’s new chief executive has shelved talks on levelling the ownership structure on its alliance with Renault, saying the two carmakers will focus on reviving their struggling businesses.
On the very first day on his new position, chief executive for Nissan Makoto Uchida has already pledged to repair profitability at Japan’s No. 2 automaker and seems all set on setting realistic targets that would be key towards the company’s future goal, as it tries to make a clean break from the leadership of former Renault chairman Carlos Ghosn.
According to leading media reports in his first news conference since taking the top job on Sunday, December 1, Makoto Uchida the new CEO for Nissan was committed to its 20-year partnership with Renault, where ties were strained in the wake of ousting a year ago of their former boss Carlos Ghosn.
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“I am not holding any discussions on the capital structure at the moment,” Mr Uchida said at Nissan’s headquarters in Yokohama. “Both Renault and Nissan are struggling with earnings. In the nearing future, the priority is in finding how the alliance can contribute to each of the companies in raising their revenue and profits.”
It seems that in the coming weeks of his resignation as Nissan’s previous CEO Hiroto Saikawa has held talks with Renault chairman Jean-Dominique Senard in order to equalise the capital structure of the alliance, according to people known and having the exact knowledge about this whole controversy of the negotiations. Renault owns 43% in Nissan, while the Japanese group holds 15% in its French partner.
“Surely the alliance between the two companies is a core source of competitiveness for Nissan,” Mr Uchida said. “We are surely hoping on continuing our alliances based on the principle of equal partners and while maintaining the company’s independence.”