Renault's stake in Nissan limited to 44.4%

According to foreign media reports, on June 30, Nissan announced for the first time some details of its 20-year alliance agreement with its largest shareholder Renault, which revealed that Renault could not unilaterally increase its stake in Nissan to more than 44.4%.

Nissan also said Renault could not increase its stake in Nissan without Nissan's permission, unless other entities were involved in the acquisition.It is reported that Renault currently holds about 43% of Nissan's shares, while Nissan only holds 15% of Renault's shares and has no voting rights.

Image credit: Renault

This is the first time Nissan has disclosed details of the "Restated Alliance Master Agreement", although Renault has disclosed parts of it before.The alliance between Nissan and Renault is widely seen as an unequal alliance in Japan, which is a source of tension between the two companies.

The documents also show that Nissan could acquire additional shares in Renault if the shareholder proposal put forward by Renault is not supported by Nissan's board.Nissan can also increase its stake if Renault does not support the proposed selection of Nissan's board members.

Nissan said it would disclose the alliance agreement by June 30, subject to non-disclosure obligations.But previously, at this week's annual general meeting, a proposal to disclose the alliance agreement was rejected.

On June 30, Nissan shares fell 2.8 percent to 533.5 yen, slightly underperforming the Nikkei 225 (-1.3 percent).