Renault’s board of directors plans to meet today to discuss a possible partnership with General Motors. The news comes after major GM shareholder Kirk Kerkorian last week formally suggested to Renault-Nissan and GM that they form a three-way alliance. GM has already held one emergency board meeting, and more discussion is expected to follow. Also this morning, Nissan said its board of directors had approved exploratory discussions on the potential three-way alliance. Observers speculate that if Renault-Nissan buys only a modest share of General Motors — 20 percent as some rumors have suggested — then U.S. regulators could move quickly to approve the deal. However, if an “operation merger” is to take place, a major antitrust investigation could slow the deal. Meanwhile, some analysts expressed concerns about the idea. Japan’s Daily Yomiuri warns that if a deal doesn’t produce favorable effects, matters would only get worse. And Freep columnist Mark Phelan says the deal would do little to actually make GM’s cars better.
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07/03, 9:15 AM
posted by:
Nick
Kirk must be loving this. The stock in GM will go higher and higher… Then comes the sell off and the downfall. This is shaping up to either be the best thing that’s happened to GM for a while, or the path to bankruptcy for GM and a major downfall for Nissan/Renault. Of course, Kirk will come out smelling like roses with more money in his pot o gold.
07/03, 9:24 AM
posted by:
Jon
Hey anonymous, where’s your GM messiah now?
Jon.
07/03, 10:45 AM
posted by:
stuart
He probably crying while learning how to speak in french and japanese.
07/03, 1:37 PM
posted by:
David
Why did it have to be Nissan/Renault? Why couldn’t they have gone to Toyota? I like Nissan. I’ve never had a bad one. Heck I’ve got a Sentra with 234,000 miles on it and it’s still going stong. But if GM gets in there and starts influencing things I might have to make the move to Mazda.
07/03, 3:20 PM
posted by:
think!
They arent going to toyota because thats not how this game works? You dont get to choose who is gonna bail you out… beggars can’t be choosers. Plus Toyota has more money and the best credit rating in the industry, why would they want to bring im some loser like GM to their portfolio. I guess since Bush basically turned down any talks with the Big 3 execs they realized they arent gonna get some bailout like the airlines do. A government bailout IS WELFARE… funny how rich people love welfare but pretend it’s only for the poor. But the airlines are a crucial part of our economy for the service they provide, not the number of jobs they give to americans. I guess when you’re own government won’t help you out you have to run to the french for help. THIS IS EFFING HILARIOUS…. honestly, i can’t really come to terms with how funny it is to see GM jumping at a shareholders order and running to the french for help… someone please help me phrase my happiness
07/03, 9:55 PM
posted by:
canut4ever
It is because Mr. Kirk realized that GM needs a cost cutter like Ghosn with a vision for nice innovatively styled products unlike managers at GM. There was no way for GM to lure Ghosn away from Renault so a partnership is the next best solution. And just maybe the Nissan/Renault/GM alliance will help GM to stay with the crown as the biggest carmaker of the world. Staving off the threat of Toyota for a while.