Renault and Nissan deny break-up is coming

Share prices of both auto makers plummet amid rumours relationship is on the rocks

Renault and Nissan have denied media reports that they are heading for a break up, as shares fell to their lowest in years.

The partnership has been under strain ever since Carlos Ghosn’s arrest in November 2018. Rumours of their split intensified when he gave his first interview last week, after fleeing to Lebanon .

In a statement Nissan said it was “in no way considering dissolving the alliance", which includes Mitsubishi Motors.

“The alliance is the source of Nissan’s competitiveness. Through the alliance, to achieve sustainable and profitable growth, Nissan will look to continue delivering win-win results for all member companies.”

Meanwhile, Renault chairman, Jean-Dominique Senard, told Belgian newspaper L’Echo, the alliance is “solid, robust, everything but dead”.

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Renault shares hit a six-year low on Monday, falling 3.2 per cent, as investors feared the 20-year alliance with Nissan was headed for an end. They have recovered slightly to €40.70 (£34.93, €45.31) at the time of writing.

Nissan shares have also taken a big hit, falling to their lowest in more than eight years. They are currently down 2.97 per cent to 618 Yen ($5,62, £4.33, €5.04).

FURTHER READING: Carlos Ghosn says arrest was plot to oust him as head of Nissan

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