Spokespeople for the companies announced that carmakers Renault and PSA Peugeot Citroen are about to end cross-shareholdings in two French plants that made up their last production alliance in the country.
Renault will buy back the 20 % stake PSA holds in its nearby Ruitz site, which makes gearboxes, while PSA will buy back the 50 % stake Renault currently holds in its Douvrin engine plant in northern France. Both carmakers would then fully own each site, respectively. The deal is due to be officially unveiled next Tuesday.
Financial terms were not disclosed, and both companies said the move would not have an impact on the roughly 3,000 jobs at the Douvrin site or on the 600 at Ruitz. But it marks the end of a partnership dating back to 1969 and is a reminder of how France’s leading carmakers have drifted away in recent decades.
Renault has since partnered with Japan’s Nissan Motor Co, while Peugeot has teamed up with General Motors and is recently mulling a tie-up with China’s Dongfeng, according to sources familiar with the talks.