Nissan and Renault announced on Wednesday that Nissan has agreed to invest up to $663 million in a new electric vehicle unit owned by Renault, finalizing the terms of their renewed alliance after months of tense negotiations. The completion of the deal appears to be a positive outcome after difficult months, which sources told Reuters were stalled due to Nissan's concerns about protecting its intellectual property in future collaborations.
The agreement also allows Nissan to focus on what is said to be a more pressing issue: the increasingly bleak outlook for foreign automakers in China, the world's largest car market. Nissan's CEO, Makoto Uchida, stated in a release that the investment "complements and strengthens Nissan's ongoing efforts in electric vehicles in Europe."
Nissan has committed to investing up to €600 million ($663 million) in its partner electric vehicle unit, Ampere. Meanwhile, Renault will reduce its stake in Nissan from about 43% to 15%, thereby putting their relationship on a more equal footing. Nissan stated that the investment in Ampere aligns with its status as a strategic investor and secures a seat on the board of the new company.
