Source: Gasgoo

On December 23, after Honda Motor and Nissan Motor announced the start of talks on a potential merger, Renault Group said in a statement that as the main shareholder of Nissan Motor, Renault will consider all options in the best interests of the Group and its shareholders. Groupe Renault will continue to execute its strategy and launch projects that create value for the Group, including those already launched within the Renault-Nissan alliance. Renault Group owns 35.7% of Nissan’s outstanding shares, according to FactSet.

Honda and Nissan are expected to sign a definitive agreement in June 2025 and aim to complete the merger in August 2026. Under the agreement, the new holding company established by the two parties will be listed on the Tokyo Stock Exchange, while Honda Motor and Nissan Motor will each be privatized in August 2026. Meanwhile, Nissan’s strategic partner Mitsubishi Motors will also consider the possibility of joining the merger and will make a decision by the end of January 2025.

It is understood that the larger Honda Motor will nominate a majority of the board members of the combined entity. The combined group is expected to generate 30 trillion yen ($191.4 billion) in revenue and more than 3 trillion yen in operating profit, and will be the world’s third-largest automaker by sales.

Foxconn has reportedly made a takeover offer to Nissan, but Nissan has rejected it. So Foxconn turned its attention to the shares in Nissan held by Renault and transferred to a French trust. However, people familiar with the matter said Foxconn had shelved its interest in Nissan after sending a delegation to meet Renault in France.

However, Foxconn has not completely given up on its bid for Nissan, the report said, adding that it would prefer to see if Honda and Nissan have made legal progress towards a merger deal before deciding on its next move.