Renault, Nissan in Merger Talks

Renault shares rose sharply over the weekend following renewed media reports of merger talks between the French carmaker and its longstanding alliance partner Nissan. Renault’s stock was up 4.6% at 97.41 euros, after Bloomberg said the companies were in merger discussions, citing unidentified sources, Reuters reported. Reuters reported earlier this month that the carmakers were discussing a deal, at Chief Executive Carlos Ghosn’s initiate, that would see Nissan acquire much of the French government’s 15% Renault holding, as a prelude to a merger. “We do not comment on rumors and speculation,” Renault-Nissan spokesman Jonathan Adashek said when asked about the latest report. A French finance ministry spokesman also declined to comment. The Renault-Nissan alliance, underpinned by cross-shareholdings, has wrestled intermittently since its 1999 inception with full merger proposals that have foundered on objections from France, Renault’s biggest shareholder.