Renault CEO’s ouster clears road for Fiat deal

The dramatic removal of Bollore by Renault’s board, just days after Nissan also chose new leadership, gives the partners a fresh chance to get past their differences and step out from the shadow of their former leader, Carlos Ghosn.

At Nissan, Bollore was seen as a negative legacy from the Ghosn era, and a hurdle in getting their alliance to iron out differences. His departure may also lay the groundwork for the French and Japanese automakers to seek wider cooperation.

“Fiat still needs a partner and Nissan needs help now more than ever,” said Tom Narayan, an analyst at RBC Capital Markets in London.

Speaking to reporters, Senard justified the decision to replace Bollore with the need to get relations with Nissan back on track. “New life into the alliance requires new governance,” Senard said. “There is no future for Renault without the alliance.”

Nissan support

Yet Senard made clear only last month that he would be open to a Fiat deal coming back. Gaining the support of Nissan would be a prerequisite since the Japanese carmaker’s failure to back a merger in June helped sink the proposal. The Japanese company has said it is seeking more power in their lopsided shareholding partnership. But that demand has met resistance from Renault and the French government, Renault’s most important shareholder.

The arrest last November of Ghosn on charges of financial mismanagement, which he has denied, laid bare a climate of suspicion between the companies. Top of their agenda going forward could be a resumption of discussions on a new structure for their partnership.