Nissan and Renault Near a Deal to Resolve Corporate Governance Dispute
June 18 2019 - 11:54PM
Dow Jones News
By Sean McLain in Tokyo and Nick Kostov in Paris
Nissan Motor Co. and Renault SA are poised to resolve a standoff
over changes to Nissan's corporate governance ahead of the Japanese
car maker's shareholder meeting next week, according to people
familiar with the plans.
Renault had threatened to abstain from a shareholder vote on the
proposed changes, which would have blocked their approval. The
French car maker holds a 43.4% stake in Nissan and the changes
require a two-thirds majority to pass.
The proposal to be voted upon at the shareholder meeting calls
for three committees to be set up on Nissan's board, handling audit
matters, director nominations and executive compensation. The two
car makers had clashed over Renault's desire for its chief
executive, Thierry Bolloré, to sit on the audit committee.
Under the proposed compromise between Renault and Nissan, Mr.
Bolloré would receive the audit-committee post, people familiar
with the discussions said. They cautioned that the deal hasn't been
made final yet. If completed, the compromise plan would enable
Renault to vote in favor of the governance changes at the Nissan
shareholder meeting on June 25, clearing the way for their
approval.
Write to Sean McLain at sean.mclain@wsj.com and Nick Kostov at
Nick.Kostov@wsj.com
(END) Dow Jones Newswires
June 18, 2019 23:39 ET (03:39 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
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