RENAULT IS GIVEN THREE MONTHS TO ADVANCE IN THE “AMPÈRE” PROJECT, ACCORDING TO SOURCES
PARIS (Reuters) – Renault does not want the Russian dossier to delay its plan to split its electrical and thermal activities and its CEO intends to make a first major internal progress report on the so-called “Ampère” project in July, to have three sources familiar with the matter told Reuters.
The diamond group, which last year returned to its first profit in three years, had to suddenly revise down its annual targets due to a provision of 2.3 billion euros – for Renault Groupe and RCI Banque – linked to the suspension of their activities in Russia after the war in Ukraine.
“Despite the Russian unknown, Luca de Meo wants to move fast on both entities,” one of the sources told Reuters.
Various working groups, supported by consultants, are actively working on the creation of two separate legal structures: codenamed “Ampere” for electrical assets and “Horse” (a nod to the traditional steam unit of steam) for assets. thermal and hybrid, he added. two of the sources.
Renault declined to comment.
The electricity entity, the most avant-garde in the current movement to reduce CO2 emissions, will have its headquarters in France and will host part of the engineering and factories, including the engine plant in Cléon (Seine-Maritime), while the other entity , based abroad, could enter one or more external associations, according to the sources.
To absorb the financial hit from Russia, so far the French carmaker’s second-largest market, Renault has also called for additional cost-effort internally, the sources added, but has stopped short of ongoing projects.
The group, which unveiled its 100% electric entity project for the first time in February, plans to organize a “capital market day” in the fall for investors.
Several media outlets reported this week that management had told financial analysts that all options were on the table regarding its planned spin-off, including an initial public offering of the electrical part.
As of Wednesday, Renault shares had lost more than 14% of their value this year after falling around 27% in 2021.
The project of the two entities aims to improve the group’s visibility in an electric race dominated by Tesla, whose position as a “pure player” continues to attract investors.
However, the working groups on the spin-off, reminiscent of the one already announced by Ford, still need to answer many questions, in particular social questions related to the positioning of the teams and sites within the two future entities, and the implications of the project. in the current structure and organization of the alliance with Nissan and Mitsubishi.
“The project will very soon be a topic of discussion with the unions, probably before the summer break,” another source said.
(Gilles Guillaume, edited by Bertrand Boucey)