According to the plans, an entity dedicated to EVs and software will be located in France and will employ around 10,000 people by 2023, while a second entity will focus on internal combustion and hybrid power plants.
Representatives for Renault and Nissan declined to comment when contacted by Bloomberg News. The Wall Street Journal and the Financial Times He reported earlier on some of the details of the talks.
De Meo, who will present an update on the strategy on November 8, will provide details of the proposed engravings, named “Horse” and “Ampere”.
While no decision has yet been made, there is a chance that the talks will lead to an agreement before that date, the people said. Given the automakers’ close ties, Nissan should sign off on the proposed plans, the people said.
Renault is looking for Nissan to participate in the EV business with a 51 percent stake, the people said. For its combustion-engine assets, the company is planning a new legal entity with Eurobay, a joint venture between Volvo Cars and China’s Zhejiang Geely Holding Group, as well as other investors.
Talks have focused on Renault taking a minority stake in the legacy business and possibly planning an initial public offering, the people said. Nissan is resisting the move because of concerns about giving the Chinese company access to the technology, he said.
Jefferies analyst Philippe Houchois said: “What could come out of this is a proposed deal to sell shares and I think that will be well received by the market.” “It doesn’t need to be done today, it could be over a few years,” Renault said, agreeing to sell its stake “at certain prices” and giving Nissan priority over those sales.
“Anything like that that opens up the frozen situation is positive,” said Houchois.