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Drew Dowdell

Chrysler News: FCA-Renault Merger Moves Forward

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The merger between FCA and Renault has crossed another hurdle overnight with FCA agreeing to a compromise with the French government.   The issue surrounded the French government's desire for a guaranteed seat on the company's board of directors and effective veto power on CEO appointments.  In a compromise, Renault would give up one of its own board seats for one occupied by a representative of the French government. The makeup of the board would then be 4 seats allocated to FCA appointees, three to Renault appointees, and one to the French government. France is Renault's largest shareholder with a 15% stake in the company. 

Additionally, Renault would give up one of its two seats on the 4 member CEO selection committee to the French government. 

The new proposal goes to Renault's board for consideration. 


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So does this mean Carlos Ghosn won’t be CEO?

  • Haha 1

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4 minutes ago, smk4565 said:

So does this mean Carlos Ghosn won’t be CEO?

I think that's up to a higher power..... 

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I see nothing stopping this from moving forward into the 3rd largest auto company in the world and hopefully a clean up of brands and the mess they have. Be interesting to see where Nissan stands after this, but my gut tells me the Japanese will be happy to stick with being independant and just co-producing platforms to share costs.

🤔

I wonder if this means "Alfa has a Hemi" Spawn Child style! :P 

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1 minute ago, Drew Dowdell said:

I think that's up to a higher power..... 

 

6 minutes ago, smk4565 said:

So does this mean Carlos Ghosn won’t be CEO?

Get digging...

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I wonder if this could lead to a return of Renault to the US.  Some of their hot hatches or the Alpine coupe would be nice to see here.  And would the new company be abbreviated RFCA or FCRA? 

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13 minutes ago, Robert Hall said:

I wonder if this could lead to a return of Renault to the US.  Some of their hot hatches or the Alpine coupe would be nice to see here.  And would the new company be abbreviated RFCA or FCRA? 

That is a good question of what the Alphabet soup would look like.

Not sure if Renault should come back to the US. Like Alfa and Fiat, they do not have the best reputation here and with the tradewars going on, might be best to invest in the American name plates and grow that business, shutdown AGAIN Fiat and Alfa and focus on profits.

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The French government will still be an impediment one way or another.  Somebody needs to get the French to sell their 15% back to the private sector.

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2 hours ago, riviera74 said:

The French government will still be an impediment one way or another.  Somebody needs to get the French to sell their 15% back to the private sector.

Socialism is no difference than communism in regards to those wanting to be in power and control all.

Let them have their 15% and long term destroy the mess of a company.

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8 minutes ago, Robert Hall said:

Saw an article this evening that the deal is off, FCA pulled out. 

Story coming soon on that..

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