Renault group to buy Nissan’s 51% stake in India JV plant

Renault has announced its decision to acquire Nissan’s 51% stake in their Indian manufacturing joint venture, Renault Nissan Automotive India Private Ltd (RNAIPL), thereby becoming the sole owner of the company.

Following the completion of the share purchase agreement between the two firms by the end of June 2025, Renault Group will own a 100% stake in RNAIPL.

Despite this acquisition, Nissan will continue to maintain a significant presence in India, focusing on expanding its market coverage. The agreement also includes an operational agreement to continue the current projects between Renault Group and Nissan, and to define the future relationship of Renault Group and Nissan in India.

Nissan will continue to use RNAIPL for sourcing vehicles for India and for exports in the coming years, the statement said.

Renault stated that the acquisition will be fully consolidated into its financial statements once the transaction is completed. The company expects 2025 to be a peak investment year for RNAIPL, with a free cash flow impact of around €200 million, assuming the deal is finalized by mid-2025.

India is a key automotive market and Renault Group will put in place an efficient industrial footprint and ecosystem, said Luca de Meo, CEO of Renault Group.

“As a long-time partner of Nissan within the Alliance and as its main shareholder, Renault Group has a strong interest in seeing Nissan turnaround its performance as quickly as possible. Pragmatism and business-oriented mindset were at the core of our discussions to identify the most effective ways of supporting their recovery plan while developing value-creating business opportunities for Renault Group. This Framework Agreement, beneficial for both parties, is the proof of the agile and efficient mindset of the new Alliance. It also confirms the attractiveness of our products with Twingo as well as our ambition to grow our business on international markets,” said Meo.

With Renault strengthening its hold on RNAIPL and Nissan retaining a presence in India through vehicle production and exports, the deal signals a restructured but ongoing collaboration between the two automakers in one of the world’s fastest-growing car markets.

“Pragmatism and business-oriented mindset were at the core of our discussions to identify the most effective ways of supporting their recovery plan while developing value-creating business opportunities for Renault Group,” Renault Group CEO Luca de Meo said.

He further said, “this Framework Agreement, beneficial for both parties, is the proof of the agile and efficient mindset of the new Alliance.”