Due to rumors of the collapse, Renault-Nissan shares fell to a critical level

The high-profile case of Carlos Gon, who combined the Japanese manufacturer with the French, can be the beginning of the end for the alliance that has existed for two decades.

Renault shares hit six-year lows on Monday, following media reports that Nissan had accelerated clandestine action planning in the event of a possible split in the alliance.

Due to rumors of the collapse, Renault-Nissan shares fell to a critical level photo 2

Renault shares fell by 3.7%, which caused the French automaker to be below the Paris Securities Index CAC 40 and the pan-European STOXX 600.

The Financial Times, citing several sources, reports that Nissan is actively preparing to leave the alliance. A surge of activity occurred after Gon escaped from custody in Japan in late December.

Recall, the top manager was detained several times, accusing him of illegal operations with company funds, using his official position and concealing profits. Carlos Ghosn denies all allegations. He was waiting for another court hearing in Japan, but Ghon fled to Lebanon.

We are convinced that relations between Renault and Nissan, and therefore all brands of the Alliance, are irrevocably severed and, most likely, cannot be repaired.

wrote Evercore ISI analysts Arndt Elinghorst and Chris McNilly in a note on Monday. Renault has not yet commented on the situation.

Related News

Sign up or log in to post a comment